Mutual fund transaction platforms such as BSE Star MF and NSE NMF II are trying to attract distributors by waiving off the registration fees completely for mutual fund advisors.
While BSE Star MF has announced that it will hold an event to carry out spot registration of distributors at various locations in Mumbai, NSE NMF II has extended its fee waiver period until December 2018.
In an email communication, BSE Star MF has confirmed that the company will hold a spot registration campaign of IFAs on October 11 at Ghatkopar and October 12 at Thane and Borivali. BSE Star MF will hold these events at the office of Reliance Mutual Fund between 10 am and 5 pm.
Distributors will have to carry copies of their PAN card, Aadhaar card and ARN. Currently, BSE Star MF charges Rs.2,000 excluding GST as one-time registration fee.
Similarly, NSE NMF II has extended its fee waiver period for distributors from September 30 to December 31. In an email communication to distributors, the company said, “As we are celebrating 25th successful year at NSE, we are extending this offer for one more quarter for our valued partners like you.”
It is pertinent to mention here that both the platforms have started to levy transaction charges on AMCs. Both the platforms levy transaction fee on AMCs, which ranges between Rs.6 and Rs.30 per transaction, depending on the volume.
Transaction platforms like BSE Star MF and NSE NMF II offer variety of services such as allocation and transfer of funds, reconciliation of fund, maintaining CMS, transaction reporting, e-mandate and so on. Simply put, a platform can do a lot of operational work of AMCs and registrar and transfer agents apart from uploading transaction feeds and executing transaction. These platforms claim that they help AMCs save on cost and time.
