CAMS and KFintech launch new platform for MF transactions
MUMBAI : Mutual Fund (MF) Registrar and Transfer Agents (ATR) KFin Technologies Pvt. Ltd or KFintech and Computer Age Management Services (CAMS) Ltd have launched a website called MF Central, following a directive from the Securities and Exchange Board of India (Sebi) to RTAs to provide a platform for MF transactions by December 31.
Investors will be able to obtain a consolidated statement of their holdings and transactions in the FCP and will also be able to make service requests via the platform.
The platform, which will be launched on September 23, will, in its first phase, be open only to Indian residents who are existing investors in MFs. Only service requests were activated in the first phase. Users can request changes to bank accounts, update the IFSC code if changed, mobile phone numbers and email addresses, as well as register up to five bank accounts and submit applications. They will also be able to change their withdrawal from Income Distributing Capital (IDCW) or their dividend option, such as switching from IDCW reinvestment to payout or vice versa. Users can also consolidate their MF folios, correct erroneous data, provide FATCA (Foreign Account Tax Compliance Act) details and update their status from minor to major.
A mobile application will be launched during phase 2. Users will be able to claim unclaimed dividends from previous periods during this phase.
Users will be able to perform financial transactions such as buy and redeem in phase 3.
People can log into MF Central by providing their Permanent Account Number (PAN) and registered cell phone number. Subsequently, a one-time password will be sent to the mobile number for authentication.
Users can consult their assets on all MFs. However, the credit notes in demat form will be displayed with a lag.
The platform is free to users, and RTAs plan to monetize it through other means.
“There will be opportunities to monetize the platform, such as selling ad space to asset management companies and selling APIs to fintechs,” Sreekanth Nadella, CEO of KFintech, told Mint in July.
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