The Association of Mutual Funds in India (AMFI) on January 14, 2026, issued the AMFI Master Circular for Mutual Fund Distributors.
The following has been stated:
• The AMFI Master Circular for Mutual Fund Distributors consolidates all circulars, guidelines, clarifications, and operational instructions issued by AMFI up to December 31, 2025, into a single comprehensive document. Its objective is to provide a unified reference framework for Mutual Fund Distributors (MFDs) and ensure clarity, uniformity, and ease of compliance with regulatory requirements.
• The circular lays down detailed provisions relating to registration with AMFI, including mandatory NISM certification, obtaining and renewing the AMFI Registration Number (ARN), and compliance with eligibility criteria. It also prescribes the Code of Conduct that distributors must follow, covering ethical sales practices, investor protection, disclosure standards, avoidance of mis-selling, and adherence to SEBI regulations and AMFI guidelines.
• Further, the circular covers operational aspects such as empanelment with Asset Management Companies (AMCs), eligibility and payment of commissions, transfer of AUM between distributors, change in ARN details, and procedures for surrender, cancellation, or suspension of ARN. It also includes provisions relating to overseas distributors, compliance obligations, reporting requirements, and disciplinary mechanisms.
• Overall, the Master Circular serves as a consolidated regulatory framework governing the conduct, responsibilities, and operational standards of Mutual Fund Distributors, while rescinding earlier standalone circulars to streamline compliance.
[Notification no. - AMFI/MFD-CIR/32/2025-26]
