Soon your clients will get additional information about mutual fund schemes on their account statement.
SEBI has asked fund houses to disclose risk level of the scheme through risk-o-meter and its performance with respect to benchmark along with the disclosure of scheme performance.
SEBI said that the move aims to enhance the quality of disclosure with respect to risk and performance of the schemes without creating information overload on investors.
AMCs will have to send the risk-o-meter and benchmark details to investors through email along with the fortnightly, monthly and half-yearly statement of the scheme portfolio.
The new framework will be applicable with effect from June 1, 2021.
The market regulator clarified that the disclosures need to be made to the investor only for the schemes in which the unitholders are invested.
