Securities and Exchange Broad of India
EXECUTIVE DIRECTOR
INVESTMENT MANAGEMENT DEPARTMENT
SEBI/IMD/CIR No. 5/70559/06
June 30, 2006
All Mutual Funds Registered with SEBI
Association of Mutual Funds in India (AMFI)
Dear Sirs,
Re: Undertaking from trustees for new scheme offer document
As you are aware, while filing a new scheme offer document, the trustees certify that the AMC complies with the requirements of Regulation 18(4) of SEBI (Mutual Funds) Regulations 1996.
It has been decided that along with the aforementioned certification, the trustees shall also certify that “the trustees have ensured that the (name of the scheme/Fund) approved by them is a new product offered by (name of the MF) and is not a minor modification of the existing scheme/fund/product.”
The above certification shall also be disclosed in the offer document along with the date of approval of the scheme by the trustees.
However, the said certification shall not be applicable to Fixed Maturity Plans and close-end schemes but shall be applicable to close-end schemes with a feature of conversion into open-ended on maturity.
This circular shall be applicable on all offer documents filed with SEBI pending clearance.
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.
Yours faithfully,
R K Nair
