In a letter sent to AMFI, SEBI has clarified that AMCs will have to disclose daily AUM of scheme along with other regularity requirement relating to scheme performance disclosure such as additional benchmark and product labelling.
SEBI said, “The provisions of SEBI circular dated October 22, 2018 regarding performance disclosure shall be followed simultaneously along with provisions of all other circulars issued by SEBI on performance disclosure.”
Earlier, AMFI had requested the market regulator to do away with the requirement of publishing daily AUM of schemes. AMFI said, “In our view, it is not desirable to publish daily absolute AUM, as the same could trigger unhealthy completion and also unwarranted media scrutiny. We therefore request SEBI to kindly consider dropping the aforesaid requirement of disclosure of scheme AUM on a daily basis.”
On performance disclosure of short term funds such as overnight funds, liquid funds, ultra short term funds, low duration fund and money market fund, , SEBI said that AMCs will have disclose short term performance of such schemes i.e. 7 days, 15 days, 1 month, 3 months and 6 months.
Since AUM of liquid funds changes frequently, SEBI has asked AMCs to disclose closing AUM and AAUM of the previous month on daily basis. However, if the AUM movement of the schemes is over 10% from the previous disclosed AUM, AMCs will have disclose the AUM of that day, said SEBI.
SEBI has further clarified that AMCs can disclose AUM of growth option of both regular and direct plans.
