The Securities and Exchange Board of India (Sebi) is mulling urgent steps to safeguard investors’ interest against any over-exposure of mutual funds to riskier corporate bonds, while measures are also underway to allow sale of funds on e-commerce platforms to provide an easy and cost-effective channel.
The proposed move to allow the fund houses and their distributors to sell mutual fund schemes through e-commerce platforms is expected to benefit all stakeholders including the investors. At the same time, Sebi is considering reducing the sector exposure limits for debt schemes to address concerns over the risks associated with their investments in distressed corporate bonds, which recently came to fore after the Amtek Auto crisis.
