Mutual fund distributor
The professional who studies the investor rather than the market — assessing "the needs, limitations, resources and financial goals of the investor" to arrive at a suitable asset allocation and then identify appropriate…
This one is not written up yet
The definition above is the short version. A full explanation — how it works, a worked example and the exam traps — is still being written. In the meantime the chapter below covers it in context.
Written up from the same chapter
- Execution only platformA SEBI-recognised digital platform that carries out subscription, redemption and switch transactions in direct plans of mutual fund schemes only — registered with AMFI (Category 1) or as a stock broker (Category 2).
- Mis-sellingSelling securities or securities services by knowingly making a false statement, hiding material facts or risk, or not taking reasonable care that the product suits the buyer — an unfair trade practice.
Where this is taught
Free preparation for NISM Series V-DRelated terms
- Pass-through vehicleThe structural fact that a mutual fund passes the risks and returns of its portfolio straight to unitholders, keeping nothing and promising nothing — which is why it is taxed once and cannot guarantee a return.
- Execution only platformA SEBI-recognised digital platform that carries out subscription, redemption and switch transactions in direct plans of mutual fund schemes only — registered with AMFI (Category 1) or as a stock broker (Category 2).
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