Overview
- AMFI announced Friday that its updated Standard Operating Procedure takes effect immediately and instructs member asset management companies to relax rules that caused rejections in transmission of units after an investor’s death.
- Fund houses are told to rely on the latest verifiable address on record when a recorded-address mismatch appears, provided the address is backed by supporting documents.
- AMFI has advised AMCs to adopt a harmonised RTA and SEBI-based framework for handling name and signature discrepancies so that minor and major mismatches follow the same rules across firms.
- For small spelling or signature variations, AMCs should use secondary checks such as independent bank-account validation or official declarations instead of automatically rejecting claims.
- AMFI will run training through AMCs to promote uniform branch-level application, but timely beneficiary access will depend on how quickly individual fund houses and registrars operationalise the guidance as they handle a growing volume of mutual fund accounts.