For investment, many of us prefer to put our money in mutual funds, so that we can get better returns with less risk. But the most important thing to claim your money, choosing a nominee, is often forgotten or ignored by most of the investors.
Let us tell you that capital market regulator Securities and Exchange Board of India (SEBI) issued a circular and made it mandatory for all mutual fund investors to either nominate or opt out for their investments. The deadline for mutual fund nomination has been fixed as March 31, 2023. If you have not done this work till now, then do it as soon as possible.
SEBI made rules
According to the circular issued by the Securities and Exchange Board of India on June 15, 2022, all investors have been given the option of making nominations or opting out of the nomination facility completely for existing mutual funds. The last date to do this work is March 31. Any investor who does not make a nomination by this date, his investment will be stopped and no transaction will be able to take place.
Complete the nomination process like this
Investors have been given both online and offline options to complete the nomination process. This can be completed through MFCentral and RTA website. However, there have been many glitches in the online process. For this reason, experts believe that doing this work offline is a better option.
Nomination has many advantages
There are many advantages of making a nomination. Firstly the investment process in mutual funds will not be disrupted. Apart from this, in case of sudden death of the investor due to any reason, the deposited capital deposited by him can be given to his family members. Therefore, it is extremely important for the nominee to choose a trustworthy person.
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