G Mahalingam, Whole Time Member SEBI has reportedly said that the market regulator does not want to abolish distributors. He was addressing fund officials at the AMFI AGM held today in Mumbai, said three CEOs who attended this meeting.
Answering a question by a MF official on RIA regulations, Mahalingam reportedly said that SEBI is not here to abolish mutual fund distributors. However, the market regulator wants investors to invest in mutual funds through advisory route (RIAs).
He said that SEBI is still discussing the proposed RIA regulations.
Mahalingam further said that the market regulator knows that retail investors were left unadvised due to fee-based model in UK. But distribution will be marginalised in future, he added.