Read in: 1min, Published On , 28 Dec 2018 By ET Wealth
while dealing with financial planners and advisors, investors should exercise their rights and be mindful of the duties
In India, as market regulator Sebi one of its primary responsibilities is to protect investors' interests. To carry out this role the government and the Sebi have enacted several laws, rules and regulations. Here we discuss some of the rights and duties of an investor relating to financial advisors and planners. One of the primary duties that an investor planning to get the services of a financial advisor or planner is to check if the investment advisor is registered with Sebi.
RISKS: Understand the risks associated with the products he is investing in
PRODUCT SUITABILITY: Understand that the product he is investing is suitable for his financial goals
TRANSPARENCY: The advisor/planner should disclose the fees he's charging the investor getting, commissions he is getting by selling the product, any conflicts of interest in suggestions the product etc.
REDRESSAL OF GRIEVANCES:Investor can get his grievances addressed through a laid down process and can escalate the same if not satisfied with the response
KYC: Complete the Know Your Customer process
Should keep his address for communication, telephone number, email ID and bank account details updated
Disclose all material financial information
Should sign all investment-related papers only after understanding their full implications
Should keep tab of his investments on a regular basis
utiswatantra.com is a UTI Mutual Fund investor education initiative.
Mutual Fund investments are subject to market risks, read all scheme related documents carefully.
To know about the KYC documentary requirements and procedure for change of address, phone number, bank details, etc. please visit
https://www.utimf.com/servicerequest/kyc. Please deal with only registered Mutual funds, details of which can be verified on the SEBI
website under "Intermediaries/market Infrastructure Institutions". All complaints regarding UTI Mutual Fund can be directed towards
email@example.com and/or visit www.scores.gov.in (SEBI SCORES portal). This material is part of Investor Education and awareness
initiative of UTI Mutual Fund.