Banks only selling mutual fund products offered by their sister concern is not a problem unless they’re mis-selling, clarified Madhabi Puri Buch, chairperson of the Securities and Exchange Board of India, at an SBI Mutual fund event.
About 97% of the mutual fund commissions earned by State Bank of India came from SBI Mutual Fund, according to FY22 data by the Association of Mutual Funds of India.
In the same period, 52% of SBI AMC’s commission payout, amounting to ₹711 crore, went to its parent bank, as per the AMC’s annual disclosure data.
