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Team Cafemutual received several queries on nomenclature that MFDs can use after AMFI suspended close to 400 ARN for not removing terms like adviser, financial adviser, investment adviser and so on from the name of their business.
SEBI norms explicitly say that individuals other than SEBI registered investment advisor (MFDs in this case) cannot use words like consultant or coach.
However, MFDs can use words like financial services, capital services and investment services.
Overall, MFDs entity name should not reflect or create an impression that they perform a role of IFA/adviser/wealth manager. Simply put, MFDs will have clearly mention that they are acting as a MFD and dealing with distribution of mutual funds.
In addition, while you can use words like wealth and investment on standalone basis, you cannot use these words in combination like wealth manager and investment management.
Here is the list of names that you can consider using along with your ARN name or company name. Assume that your ARN name is Paisa. Here is the combination of nomenclature that you can use with your name:
- Paisa Asset
- Paisa Asset Distribution
- Paisa Asset Services
- Paisa Capital
- Paisa Capital Distribution
- Paisa Capital Services
- Paisa Edge Investment
- Paisa Edge Distribution
- Paisa Enterprises
- Paisa Fin
- Paisa Finance/Financial
- Paisa Financial Distribution
- Paisa Financial Investment
- Paisa Financial Services
- Paisa Finmart
- Paisa Finserv
- Paisa Finserve
- Paisa Finvest
- Paisa Fundmart/Fundsmart
- Paisa Invest
- Paisa Investmart
- Paisa Investments
- Paisa Investment Services
- Paisa Financial Investment
- Paisa Investor Services
- Paisa Investor Shoppe
- Paisa Ltd/LLP
- Paisa MF Services
- Paisa Money
- Paisa Money Services
- Paisa Moneymart
- Paisa Mutual Fund Distribution/Distributor
- Paisa Mutual Fund Services
- Paisa Partners
- Paisa Prime Investments/Distribution/Distributor
- Paisa Prime Wealth
- Paisa Securities
- Paisa Securities Distribution
- Paisa Services
- Paisa Wealth
You may write to AMFI at contact@amfiindia.com if you have any other combination in mind.
Remember, MFDs have to carry a tagline ‘AMFI registered Mutual Fund Distributor’ along with their name or company name.
The tagline has to be carried in a clear and legible font of at least font size 12 across all forms of communication.
MFDs should display their name and tagline in a clear and legible font in all forms of communication i.e. website, mobile app, printed or electronic materials, business card, sign board and so on.
