How to Become a Mutual Fund Distributor in India
How to Become a Mutual Fund Distributor in India
Blog Article
A Mutual Fund Distributor (MFD) is an intermediary who helps investors choose the right mutual fund schemes and earns commission for the investments they facilitate. If you have an interest in finance and a passion for guiding others with their investments, this could be a rewarding career path.
Steps to Become a Mutual Fund Distributor
Learn how to become a mutual fund distributor
Pass the NISM Certification
Register and clear the NISM Series V-A: Mutual Fund Distributors Certification Exam.
It tests your knowledge of mutual funds, risk, taxation, and financial planning basics.
Apply for AMFI Registration Number (ARN)
After clearing the exam, apply to AMFI (Association of Mutual Funds in India) for an ARN.
Submit documents like PAN, Aadhaar, educational proof, and exam certificate.
Get Empanelled with AMCs
Tie-up with Asset Management Companies (like SBI Mutual Fund, HDFC, etc.) to sell their products.
Start Distributing
Once empanelled, you can start helping clients invest in mutual funds — online or offline.
Eligibility Criteria
| Criteria | Requirement |
|---|---|
| Age | 18 years or older |
| Qualification | No formal degree required, but basic education helps |
| Exam | NISM V-A Certification |
Earnings Potential
Mutual Fund Distributors earn through:
Upfront commissions
Trail commissions based on Assets Under Management (AUM)
More clients and higher AUM = higher earnings.
Conclusion
Becoming a mutual fund distributor is relatively easy but requires continuous learning and strong client trust. With low investment and high potential, it’s an excellent opportunity for aspiring finance professionals or side hustlers.
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