SEBI asks AMCs to disclose distributor commissions in half yearly a/c statements

Ok! Why don't you make it mandatory for structured products, PMS, private equity (upto 4%), insurance plans (upto 75%) and NCDs (upto 6%) to all disclose their commissions. Only MF has been wealth creators among these ridiculous expensive products. All others have proven to be wealth destructors. Also, let the world know how much SEBI is lobbied for making such ridicule rules. If you don't know what to do, please learn status quo. Sometimes, silence is bliss.. We're here for long-term don't make everyone corrupt, because they are still pure souls living among us.

Insurance commission main 20% pe koi hilta nahin sebi ki phat jati mutual fund main 1% brokerage upfrnt pe. Funny stuff. Sebi chairman resign .

in this decision AMC's are equally participant with SEBI all distributors should start new AMC .

SEBI Should make Pass Back of Such Brokerage Legal by Law to Investor as from now onwards investor will ask for it. And we will have no option just to pass back our income to investor. And due to these there will more Mis-selling. Sebi's another attempt to kill the industry.

Ridiculous . Stupidity of sebi

It seems SEBI has decided to finish the business life of IFA. That's why only taking steps that are against IFA's.Firstly no entry load to direct than moved to direct nav differentiation. And now disclosing commission on statements. Do the regulators made to do only the negatives? Did they ever took any step to promote business for IFA. When ever we are about to overcome from a past negative step of regulator.A new negative step is ready to further take us down. This is really bad n disgusting.

Its ridiculous step by sebi.not only IFA commission AMC management expences Also to be disclosed

Hope it would be applicable for banks and corporates

What is the objective ? Is it to educate the investor ?
Then let the AMCs also reveal what amount was taken as their fees !!

This is just ridiculous. Gov should act against this. What is the matter SEBI have nothing constructive to do. Why not gov put actual price on medicines and other commodities, people have right to know what is d actual price and how extent they are taking profit. SEBI wake up go do something constructive.

It is better to disclose like this in all.
First implement in Government it self.
Display Salary boards in front of every govt office. Profits on cigarette pockets, wine bottles etc..
We at MF Industry are really working for a very nominal margins, and MF is the only product where the customer gets correct investment with high transparency.

Still I am unable to understand why regulators are continuously trying to kill this Industry?
1. Due to discount brokers in stock market investors wealth washed out - Regulators wants to do the same in MF Industry too?
2. Due to Bankers mis-sellings Insurance policies - large number of policies are lapsed. Customers money going to Brokers and Insurance companies pockets. Are the regulators sleeping??
3. Bankers are not doing their own business (Banking). They are large brokers. Regulators are watching this??
4. Without basic product knowledge Employees of Banks and Financial Institutions are selling Insurance and Investment products as per their targets.are regulators watching??
5. No broker/ Banker providing after sale service. Regulators feel that it is a non-service required product?

Instead of protecting Investors rights, the regulators are MIS guiding the investors by showing commission earned by your distributor.

Try to servy on one thing that
# 80 %The Insurance and Investment products sold by Institutions are by obligation with out any knowledge to client/ MIS selling are not??
# 80% products sold by IFA s are with full knowledge to client and proper goal based planning or not??
Try to save the Industry and Investor
Don't kill by MIS guiding..
Tq

Welcome it. But should be made compulsory for All Financial products. The time has come to provide financial horoscope to the clients and get the fees for it and tell them that it is for the productd suggested to them as per their risk profile and financial horoscope. No one open their mouth against it. Otherwise let them get free but quality less free lunch where available and enjoy it's repercussions later.

SO, SEBI IS GOING TO BE THE LEADER AND THE FIRST REGULATORE TO BRINNG THE CHANGE IN INDIA SO THAT ALL RETAILERS LIKE MEDICAL SHOPS/GROCERY STORES, MANUFACTURERS LIKE HINDUSTAN LEVER/SUN PHARMACEUTICALS, SERVICE PROVIDERS LIKE AIRTEL/STAR TV, GOVERNMENT, PRIVATE AND PUBLIC LIMITED COMPANIES LIKE RELIANCE/ONGC, SALARIED PEOPLE, PROFESSIONALS LIKE DOCTORS WILL SOON DISCLOSE THE PROFIT/COMMISSION/INCOME THEY GET IN EACH AND EVERY TRANSACTIONS/DEALINGS.

This commission is before expenses, what about service tax we pay and all our business expenses, how to disclose that

Sebi wants to kill the industry. First reduced commissions, then direct plans, then ria registrations, then ridiculous disclosures an all in pressure of big banks who just want to fleece the clients.
No one will join as ifa in this ultra challenging environment. Go and join the insurance industry where regulator is not killing the agents.
Sebi officials have been bribed by the banks and amc to kill the ifa channel.
Ifa will have no option but to induce passbacks to retain business.
No new ifa in this kind of poisonous environment.
Invrstors will get killed by misselling of banks where even a clerk is given targets to sell insurance and mutual funds without any knowledge.
Govt should do something to bring sebi back to its mind.

All IFA must stop to initiation new businesses for MF against this decision for next six months, if gross sale MF decline SEBI & AMFI analyse this decision. This decision is only helpful for more literate people not for general who loose their in worst investment.

Dear SEBI , can you provide any product manufacturer name or distributor name who has disclosed their profit or commission ?

https://www.change.org/p/insurance-regulation-and-development-authority-in-india-disclose-all-the-commissions-and-incentives-paid-to-insurance-agents?recruiter=364635764&utm_source=share_petition&utm_medium=copylink

Hello,

I just started the petition "Insurance Regulation and Development Authority in India: Disclose all the commissions and Incentives paid to Insurance Agents" and wanted to see if you could help by adding your name.

My goal is to reach 100 signatures and I need more support. You can read more and sign the petition here:

https://www.change.org/p/insurance-regulation-and-development-authority-in-india-disclose-all-the-commissions-and-incentives-paid-to-insurance-agents?recruiter=364635764&utm_source=share_petition&utm_medium=email&utm_campaign=share_email_responsive

Thanks!

Bhavesh

hey......look we as an advisor are transperent.
i just had idli in today's breakfast. will send lunch and dinner menu soon.

Agreed all the financial products should include not only the brokerages and comissions paid to distributors but also the other costs.

And the Govt should also disclose on the physical products and Consumer appliances the actual cost.... and slowly our property tax receipts should include the salaries paid to corporators, MLA's, MP's, etc and contracts allocated to there near and dear ones, Lets be transparent at all levels.

History is in evidence for many unruly regulations brought in by the Policy Makers. We don't take Names of Mohd Bin Tughlak or the likes with great respect. It is almost Ten Years from the time SEBI Started intervening with the Conduct of MF Business. And it is from that time that the Growth Rate of the Industry has slowed down. But for Damodaran's adamant decisions today MF Industry would have had twice its AUM and thereby stabilising the unreasonably volatile markets more efficiently. People would have developed greater confidence in Fund Management and would have pumped in more investments rather than staying struck with the already over bulged Fixed Deposits. In the bargain the Funds could have returned far better returns to the investors. The Pharma and Personal Health Care products have a margin of 100-1200 % over the cost of manufacturing. The Food Processing industry marks up their MRPs 200-500 % of its manufacturing price. The Banks source their Funds at an average cost of 5 % and lend at an average rate of 11 % (A whopping 110 %). No where it is mandated that the industry should live on a pre determined margin. The MFs are given a 1-2.5 % All inclusive margin to operate within which in itself is at the rock bottom. Within that, the Fund Houses are struggling to distribute to various segments of work force including marketing agents. Intruding into this area is extremely outrageous and depicts the personal psychophancies of the people involved. They have never studied and learned from the evolution of any industry in infancy and its application to the National Development. It is unfortunate that a Government poised to create history to turn around this country into a Developed Nation has to depend upon such novices at the cost of hindering their own Agenda.

This is not a healthy sign for the IFA however this will help amc's to build their businesses in long term ' sebi plays a very smart thing to build the industry and to finish the ifa ' this is a long term thought of UK sinha to sell the direct plans more and more because when the investor saw the difference between the regular and direct they choose direct

Over Regulation only happen in India.
Hath dhokar pichhe padna

It is a good step only if done in syn with all financial and other (insurance, etc.) products in the industry. Also, SEBI should ask all AMCs to put salaries of all AMC staff on the website. Else, it is a retrograde step which will bring about a set-back to AMCs' AUM.

One positive thing which can emerge is that our clients will see the pathetic sums we get and dole out some more money to us as compensation.