AMFI reduces ARN registration and renewal fees by 50% for MF distributors
The Association of mutual funds in India has reduced 50% of the ARN registration fee and renewal fees for mutual fund distributors. Further, the rate cut applied from May 1, 2021.
Also, these fee structures for individuals and proprietorship firm has been reduced by 50% to Rs. 1,500 and Rs. 750 respectively. At the same time, the post office and microfinance institutions’ ARN registration and renewal fees also decreased to Rs. 7,500 and Rs. 3,750 respectively.
On the other hand, the AMFI has also been reduced the registration and renewal fee for Employee Unique Identification Number (EUIN) from Rs. 1,500 and Rs. 750 to Rs. 500, respectively.
Furthermore, the Urban cooperative banks, societies, trusts, and HUFs, and other partnership firms may now pay fees at Rs. 10,000 and Rs. 5,000 respectively. Moreover, the One Person Company (OPC), LLPs, and private limited firms would pay Rs. 20,000 and Rs. 10,000, respectively.
According to the source, the AMFI stated that the main aim behind the reduction in registration and renewal fees remains to encourage new and young individuals across the country. Moreover, it plans to reach out to a large base of small savers, particularly in the Tier II and III cities and towns, to channelize financial savings into the mutual fund asset classes.