Think twice before using suffix and prefix ‘mutual fund’ on your email sender name.
In a communication with distributors, AMFI has cautioned distributors against using the word ‘mutual fund’ in suffix and prefix of email labels. Simply put, if you are sending an email commuincation from your email id viren@makeyouwealthy.com, you cannot use ‘Viren Mutual Fund’ as the sender’s name on your email communication.
SEBI and AMFI have noticed instances where distributors have communicated with clients through their email IDs by using the word ‘mutual fund’ on sender’s name. AMFI said, “Recently certain instances were brought to the notice of AMFI and SEBI, wherein the mutual fund distributors had adopted email labels suffixed with the words "Mutual Fund" [for example, "ABC Mutual Fund" or XYZ Mutual Fund" {where ABC & XYZ are the names of the ARN holders} while sending promotional "no-reply" emailers regarding mutual fund investment.”
AMFI has asked distributors not to use such names in their email labels to mislead investors. “While the concerned distributors were advised by AMFI to stop using such names immediately as such email labels could be mistaken to have been sent by a genuine mutual fund by uninformed persons, AMFI's ARN Committee and the Board of Directors of AMFI have expressed concern in this regard, and have advised that mutual fund distributors should refrain from using the term "Mutual Fund" in their or email label or in their proprietary names in any manner,” added AMFI.
A few months back in April, AMFI had cautioned distributors against tweaking the ‘Mutual Fund Sahi Hai’ (MFSH) campaign line to promote their own business. AMFI has found instances where some distributors and IFA associations have violated SEBI guidelines by using the ‘Mutual Fund Sahi Hai’ logo inappropriately.