Investor Rights & Obligations

Under the SEBI regulatory framework for mutual funds, every investor in mutual fund schemes in India is entitled to:

• Scheme information: access to the Scheme Information Document (SID), Statement of Additional Information (SAI), and Key Information Memorandum (KIM) of any scheme before or at the time of investing.
• Disclosure of NAV: schemes are required to declare and publish their Net Asset Value (NAV) on every business day.
• Account statements: an account statement for your transactions and holdings, along with periodic consolidated account statements covering your mutual fund investments across folios.
• Redemption of units: the right to redeem units in open-ended schemes on any business day at the applicable NAV, subject to the scheme's terms, and receipt of redemption proceeds within the timelines prescribed by SEBI.
• Transparency of costs: scheme expense ratios are disclosed, and where you invest through a distributor in a Regular plan, the commission paid to the distributor forms part of that disclosed expense structure.
• Nomination facility: the ability to register a nomination (or opt out explicitly) for your folio so that units can be transmitted smoothly to your rightful heirs.
• Grievance redressal: the right to raise complaints about your investment — first with the AMC/RTA, and if unresolved, with SEBI through the SCORES portal or SMART ODR platform.

A well-functioning investment process also depends on investors fulfilling a few responsibilities:

• Complete KYC: provide accurate Know Your Customer documentation and keep contact details, bank mandates, and nomination records current.
• Read the scheme documents: review the SID/KIM and understand a scheme's objective, risk factors, and exit loads before investing.
• Understand market risk: mutual fund returns are market-linked and not guaranteed. Invest in line with your horizon and risk tolerance, not on the expectation of assured outcomes.
• Share accurate information: suitability assessment depends on honest disclosure of your income, liabilities, existing holdings, and goals.
• Review your statements: periodically verify account statements and raise discrepancies promptly with the AMC, RTA, or your distributor.