Mutual Fund Fresh KYC: Market regulator SEBI has made it mandatory for all mutual fund investors to get fresh KYC…
Market regulator SEBI has made fresh KYC mandatory for mutual fund investors. Its deadline of March 31 has already passed, but investors have been given relief from account blocking. Now a big update has come out regarding documents on KYC.
Changes implemented from April 1
SEBI has made some changes in KYC documentation. According to the changes implemented from the beginning of the new financial year i.e. 1st April 2024, now investors can get fresh KYC done with some selected documents only. Many investors used documents like bank statement or utility bill to get KYC done. The regulator has shocked them and removed bank statements and utility bills from the list of valid documents.
These documents will be accepted
- Aadhar card.
- Passport.
- Driving license.
- Voter ID Card.
- NREGA job card.
- Any other document approved by the Center under the agreement with the regulator.
These documents will not work
SEBI has told mutual fund distributors that now documents like bank statement or utility bill will not be accepted for KYC. In KYC, the investor has to fill a KYC form, along with which identity proof and address proof documents have to be submitted.
This relief given earlier
Earlier, mutual fund investors have got some relief in the matter of fresh KYC. Earlier it was being said that the mutual fund accounts of investors who do not get fresh KYC done by March 31 will be blocked. Now giving relaxation in this, it has been said that if an investor is not able to get fresh KYC done by March 31, he will still be able to do transactions in his mutual fund folio. If fresh KYC is not done by March 31, 2024, mutual fund accounts have not been blocked, but have been put on hold. As soon as investors get fresh KYC done, their mutual fund accounts will be removed from hold.
