SEBI has asked PMS distributors to pass the NISM Series-XXI-A: Portfolio Management Services (PMS) Distributors Certification Examination.
With this, individuals will have to clear NISM exam to sell PMS. However, mutual fund distributors can continue to sell PMS until the validity of their ARN i.e. up to 3 years. MFDs will have to appear for PMS examination at the time of renewal of their ARN.
In addition, employees of PMS players engaged in sales activities (associated persons) will have to clear this examination within 2 years. For new employees i.e. associated persons who join the company after September 7, 2021 will have clear the examination within a year.
In another circular, SEBI has asked principal officers of PMS players or employees having decision making authority related to fund management to clear NISM Series XXI-B: PMS Certification Examination within two years. Such a requirement is one year for new employees.
