To become a mutual fund advisor in India in 2024, you’ll need to follow a specific process, obtain the necessary certifications, and register with the appropriate regulatory bodies.
Here’s a brief summary of the steps to become a mutual fund advisor in India:
- Educational Background: While not mandatory, having a bachelor’s degree in finance or business is beneficial. Certifications like CFP,CFA or CA can enhance your profile.
- NISM Certification: Pass the NISM-Series-V-A: Mutual Fund Distributors Certification Examination. The exam costs ₹1,500-₹2,000, and you need a 50% score to pass.
- Register with AMFI: After passing the exam, apply to the Association of Mutual Funds in India (AMFI) to get your ARN (AMFI Registration Number).
- Comply with KYC: Ensure both you and your clients are KYC-compliant by submitting identity, address proof, and PAN details.
- Start Selling: Once you have your ARN, you can sell mutual funds as an Independent Financial Advisor (IFA) or through a financial institution.
- Build Your Business: Focus on client relationships, networking, and using online platforms to grow your business.
- Renew Certification: Renew your NISM certification every three years through a CPE program or by retaking the exam.