Reporting formats submitted by AMCs to trustees, by AMCs to Sebi, by trustees to the regulator have been revised
Capital markets watchdog Sebi on Monday came out with fresh guidelines on reporting formats for Mutual Funds (MFs).
The formats for the reports to be submitted by Asset Management Companies (AMCs) to trustees, by AMCs to Sebi, and by trustees to the regulator have been revised based on consultation from the industry.
In a circular, Sebi said the compliance certificate to be submitted by an AMC to the trustees on a bi-monthly basis and half-yearly basis would be discontinued.
The contents of both these reports have been incorporated in the quarterly report by AMC to trustees, it added.
Concerning quarterly report on activities of MFs, Sebi said such report must contain details of the number of live schemes as on last day of the quarter-end, schemes launched during the period including schemes which were launched but could not be constituted for any reason, details of existing schemes matured or wound up as well schemes merged during the quarter.
For schemes that have been wound up, Sebi said details of payout should be provided during each quarter till the last payout for such schemes.
Besides, details of close-ended schemes rolled over, schemes that underwent fundamental attribute change, clearance received from Sebi to launch new schemes and details of Assets Under Management (AUM) need to be provided in the quarterly report.
The report should also contain details of AMC-related information, details related to investment, product, risk management, valuation of investments, investor, among others.
Such reports need to be submitted to trustees within 21 days from the end of respective quarters.
To synchronize the frequency of submission of the Compliance Certificate Test (CTR) and quarterly report, Sebi modified guidelines to the extent that, instead of exceptional reporting, complete CTR would have to be submitted by AMC to the regulator quarterly, by the 21st calendar day of succeeding month for the quarters ending March, June, September, and December.
On half-yearly trustee report by trustees to Sebi it said AMC needs to mention 'Yes'/'No' concerning each compliance item and wherein there is non-compliance and AMC has mentioned 'No', details regarding the nature of non-compliance should be given along with the corrective action taken, if any.
Sebi said trustees will have to submit corrective steps taken for the non-compliance reported in the report.
It further said trustees would continue to submit such reports for the half-year ending September and March within two months from the end of the half year.
For quarterly reports and reports on compliance certificate tests, the guidelines would come into effect for reporting from the quarter ending June 2021. Whereas, for half-yearly trustee reports, the new framework would come into effect for reporting from the half-year ended March 2021.