SEBI allocates funds to expand the reach of mutual funds

Good idea for educating investors.
But how many years will take for this as in 25 yrs each district not even 1-1 amfi registered distributors.

Very usuful for us who belongs to B 15 areas.Thanks

One of the main reasons for people not investing in MFs, apart from the risk factor is due mis-selling of insurance under guise of investment... SEBI needs to do more to educate that insurance and investment are 2 separate products.

Very good initiative for us those who are working in B15 cities, where mutual fund penetration is very less. It is a good opportunities for us by which we can reach to more no of new retail investors.

SEBI itself id breaking the backbone of the industry by allowing direct plans under the pressure of AMC's. Just look at the data in terms of no of IFA joining and no of IFA's doing no business or left the industry to do lucrative selling like insurance selling. Insurance industry and regulator are paying good amounts to agents, educating them, investing to enhance their skills. But what is being done in the mutual fund industry if opposite. Kill the golden egg laying hen and try and get all the eggs in one go. When AMC should be investing in employing more IFA and provide sales and product learning to existing ones, all they are doing is to convert clients into direct clients, thus becoming IFA's competitors. If insurance industry an pay 35% upfront commissions and 5% recurring commissions on most of the products, whats so bad in IFA channel earning .5% to 1.2% commissions in equity plans. Make the industry better for the learned postgraduate people to become IFA's and earn a decent living. But SEBI is hell bent to destroy the IFA channel and looking to cater to vested interest of banks - which are big distributors - and AMC's.

It is very much usful to IFA Adviser

I am agree with the views of Jitesh. Actually in the name of transperancy, regulating bodies have actually hampered the growth of the mutual fund and it's penetration. They have discouraged edusincated people to engage in MF products distribution by introducing direct plans and to discourage advisors badly showing direct plans NAVs alongwith Regular Plans. Apart from mutual funds commission being very low and it would take years of hard work for any general person to make his/her livelyhood from selling mutual fund products by showing introducing direct plans and it's NAVs everywhere, regulators have created very embarrasing situation for all MF distributors. The reason being most of us ( MF distributors ) visit mostly our near and dear ones and aquantances to sell MF products and in this internet savvy world , when we show the performances of our recommended plans to our near and dear ones on internet, they see the NAVs of direct plans also and ask us what is this, why NAV is more in this direct plan and they start to think that this fello is not advising in their interest and advising the product in his/ her interest for commission. They may think why we r not advising them direct plan which would be more beneficial for them. In spite of very low income and acting in the best interest of people ( by not selling insurance products giving false commitments ), we daily face this harrassment also. No other industry e.g steel, cement, auto, banking, FMCG, consumer durables, road tranport, aviation shows their clients what income they are making from their clients and their is no direct sales rates available why Mutual Fund industry has done this to hamper the growth of this industry and demotivate their already very low incentivised distributors (Except some big distributors).

Apart from my ideas I welcome the move of educating the investors, it would strenthen the growth of MF industry and may benefit distributors also.

its very good move.????