Good news for mutual fund investors and demat account holders!
The Securities and Exchange Board of India (SEBI) has announced a relief measure regarding the submission of nominee information. Here’s what you need to know:
No Seizure of Assets
SEBI has declared that it will not seize the mutual fund portfolio or demat accounts of investors who haven’t provided nominee details.
This decision, outlined in a circular issued on June 10, aims to simplify rules and enhance convenience for investors.
Deadline Extension
In December last year, SEBI extended the deadline for updating nominations for mutual fund investors until June 30, 2024.
This extension grants investors more time to complete or update their nominee details.
Communication and Compliance
SEBI will regularly remind investors via SMS and email to provide nominee information.
Additionally, a pop-up message will prompt investors to fill in the nomination details when logging into their depository demat accounts.
Reminder Notifications
Investors who haven’t yet provided nominee details will receive regular reminders via SMS and email every fortnight.
Additionally, a pop-up will prompt them to fill in the nomination details when logging into their depository demat accounts through web or mobile applications.
Importance of Nomination
SEBI emphasizes the significance of providing nominee details, as it facilitates seamless asset transfer and reduces the risk of unclaimed assets in the securities market.
Existing investors and unit holders are encouraged to opt for nomination to safeguard their interests and streamline processes.
