Chief General Manager
Investment Management Department
SEBI/IMD/CIR No. 5/63714/06
March 29, 2006
All Mutual Funds Registered with SEBI
Association of Mutual Funds in India (AMFI)
Re: Review of time limit for updating NAV on AMFI website.
Please refer to SEBI Circular No. SEBI/Cir No.11/171/01 dated February 9, 2001, on the subject of disclosure of NAV. In view of the difficulties faced by the mutual funds in adhering to the time limit of 8.00 pm for uploading all their NAVs including those of Fund of Funds schemes on the AMFI website, the following has been decided:
1) With effect from today, mutual funds shall be allowed time upto 9.00 pm for uploading the NAVs of their schemes including Fund of Funds schemes on AMFI’s website and also on their own websites.
2) As mentioned in the SEBI circular date February 9, 2001, if the NAVs of a mutual fund are not available before commencement of business hours on the following day due to any reason, the mutual funds shall issue a press release giving reasons for the delay and explain when they would be able to publish the NAVs.
3) In case of delay beyond 9.00 pm the mutual fund must explain the reasons of delay in writing to AMFI.
4) Mutual Funds shall report in the bi-monthly Compliance Test Reports (CTRs) the number of days when mutual funds were not able to adhere to the above mentioned time limit for uploading their NAVs on the AMFI website with reasons thereof and the corrective action taken by the AMC to reduce the number of such occurrences.
This circular is issued in exercise of powers conferred under Section 11 (1) of the Securities and Exchange Board of India Act, 1992, read with the provisions of regulation 77 of SEBI (Mutual Funds) Regulations, 1996, to protect the interests of investors in securities and to promote the development of, and to regulate the securities market.