‘Nominee has to obtain ARN to transfer assets of deceased distributors’
16-May-2021
While the pandemic has taken so many lives, the MF industry too has lost a few gems from the distribution community as well.
Over the past few weeks, we have received many queries on the AUM transfer norms of AMFI. Most of these queries are about transfer of AUM due to death of a distributor.
To address these queries, we have reproduced our previous article to give you gist of the revised AMFI guidelines effective August 1, 2020.
If transfer of AUM is due to death of a distributor
In order to transfer AUM of a deceased MF distributor to the ARN of nominee or legal heir, the ARN of deceased distributor has to be valid on the date of demise and his trail commission not under suspension for any reason.
In addition, the nominee or legal heir must have a valid ARN and be KYD compliant as on the date of request of such a transfer. The new distributor will have to submit his annual declaration of self-certification (where applicable) due as on the date of request of transfer of AUM.
Here are other key points to remember:
Source : CafeMutual