Top five distributors of top five AMCs - Cafemutual.com (2024)

FAQs

Top five distributors of top five AMCs - Cafemutual.com? ›

This commission is given at the time of investment and is a one-time payment. It is typically a percentage of the invested amount, ranging from 0.5% to 1.5%. This is based on the mutual fund type and distributor.

This commission is given at the time of investment and is a one-time payment. It is typically a percentage of the invested amount, ranging from 0.5% to 1.5%. This is based on the mutual fund type and distributor.

goMF is mutual fund app available for all iOS and Android devices. Distributors can now enjoy the convenience of initiating their customer's mutual fund transactions using the goMF App from anywhere or while on the move.

In a way, both are supposed to help with your investment decisions, which may include selection of Mutual Fund schemes. However, as the name itself suggests, a Mutual Fund distributor is more likely to be focused on Mutual Fund products, whereas an investment advisor may have a broader basket of products and services.

Mutual funds are sold to investors through entities variously known as distributors / agents / brokers (referred to as 'distributors' hereafter). These distributors perform two functions. They act as agents of the Asset Management Companies (AMCs) in helping them sell their schemes.

To be able to open a direct mutual fund, one must open an account directly with the fund house, or asset management company (AMC). At the AMC's website, one has to create an account in which one must enter the basic information, and registration details.

Analyze the performance records of the mutual funds offered by the AMC over various time horizons. Evaluate factors such as returns, volatility, and how the funds have performed in different market conditions. A history of delivering consistent, above-average returns can be an indicator of a well-managed AMC.

Which mutual fund gives the highest commission? ›

For the financial year 2022-23 (FY23), data available with the Prime MF Database showed that NJ India Invest was the biggest mutual fund distributor (MFD) in terms of commissions earned at Rs 1,539 crore.

NJ India Invest continued to be the largest MFD in India (in terms of commission income) for the eighth straight financial year with a net commission earned of Rs 1,539 crore during FY23.

Trailing commissions vary but usually hover around 0.5% of the investment per year. Avoiding trailing commissions is possible, by investing in low-cost mutual funds, exchange traded funds (ETFs), which typically have lower costs, or using robo-advisors.

With this, the total number of individual distributors goes up to 1.22 lakh. Of the total 1.22 lakh, 50% or over 60,000 MFDs are from B30 cities. If we include EUIN holders, the industry has 2.33 lakh foot soldiers as on March 2023.

Approach your new distributor and request a switch. Fill out the switch request form, providing details such as the fund name, folio number, and the amount to be switched. Ensure accuracy to avoid any processing delays. Investors may request through an online platform to change mutual fund distributors.

Essentially, a form with the details and a signed authorization letter needs to be sent to the asset manager or the MF requesting such a transfer to be affected. If you are migrating to an online portal, the process can be very simple and it can be initiated online.

An asset management company that creates and manages mutual funds, employs a mutual fund wholesaler, also known as a mutual fund representative, to sell the product to resellers. Typically, the wholesaler is a salesperson.