About MF Utility

MF Utility – an introduction

MF Utility (MFU) is a “Transaction Aggregating Portal” that electronically connects:

MF utility connects investors Investors

MF Utility connects distributors Distributors

MF Utility connects with collection banks Collection Banks

MF Utility connects with payment aggregators Payment Aggregators

MF Utility connects with MF AMCs Mutual Fund Houses

MF Utility connects the Registrars and Transfer Agents RTAs

Why MFU?

INCONVENIENCES faced by Investors / Distributors:

MF Utility solves the problem of multiple forms and cheques Separate Application forms, separate payment instruments/instructions

MF Utility solves the hassle of having separate folios with each MF Separate Folios for each Mutual Fund

MF Utility enhances the geographical reach for the MFs in India Restricted geographical reach

MF Utility solves the problem of different scheme cut-offs Different Scheme cut-offs, different locations for submission of transactions

MF Utility brings Neutral points of acceptance “Points of Acceptances” specific to Fund

MF Utility presents a consolidated view Information from different sources i.e. different AMCs/RTAs

MF Utility brings standardization at the industry level Different features, procedures, processes, formats, standards

MF Utility enhances the self-service capabilities for distributors Limited self-service capabilities

MF Utility eliminates duplicate or redundant activities Duplication of activities

MF Utility – Mission & Vision

MISSION

To provide reliable & resilient value-added network & application services for B2B and B2C initiatives that:

MF Utility minimizes risks minimize risk

MF Utility brings efficiency and automation promote timely, efficient and automated interactions at reduced costs

VISION

To be the change “we want” for the Mutual Fund Industry and its Stakeholders.

MF Utility – Objectives

MF Utility empowers investors with CANSingle identifier Common Account Number (CAN) for all Investments

MF Utility brings efficiency with single cheque for multiple transactions Single cheque and application for investments across Mutual Funds

MF Utility standardizes the processes at industry level Standardization of processes

One view for customers and distributors

Mf Utility offers consolidated industry MIS Consolidated Industry MIS

MF Utility enhances the geographical reach Increased geographical reach

MF Utility aims to enhance the data quality Improved data quality

MF Utility – Objectives - Contd ...

MF Utility enables distributors with self service capability Enhanced self service capability

MF Utility provides value added services Value added services for all stakeholders – alerts, triggers, reminders, etc.

MF Utility enhancs operational efficiency High degree of operational efficiency with reduced risks

MF Utility has state of the art scalable infrastructure Scalable to facilitate growth of business

MF Utility enables digitization of transactions at source Enable digitization of transactions

MF Utility is an inclusive system benefiting all stakeholders Inclusive for all stakeholders

Common Account Number (CAN)

Single reference number issued by MFU

Created for a unique combination

 MF Utility - attributes of Common Account Number Number of Investors

MF Utility - attributes of Common Account Number Holding Pattern (Order & Mode of holding)

MF Utility - attributes of Common Account Number Investor Type (Individual, Non-Individual)

MF Utility - attributes of Common Account Number Investor Category (Individual, Minor, Sole-Proprietor) within Individual Investors

MF Utility - attributes of Common Account NumberTax Status (Individual Investors)

MF Utility - attributes of Common Account Number Bank Account Type (NRE, NRO etc.) within Non-Resident Individuals

Common Account Number (CAN) - Contd ...

Shared only with respective AMCs / RTAs where transacted

CAN will hold the following information centrally for the industry:

MF Utility holds the CAN data centrally for the industry Investor Name/s

MF Utility holds the CAN data centrally for the industry Nationality, Tax Status, Mode of Holding, Guardian Information

MF Utility holds the CAN data centrally for the industry Contact details of the primary holder

MF Utility holds the CAN data centrally for the industry Multiple Bank mandates commonly registered at CAN level for the industry

MF Utility holds the CAN data centrally for the industry Depository Account details

MF Utility holds the CAN data centrally for the industry Power of Attorney, if any

What’s New?

Sign-up with MFU for Distributors

“Common Account Number – CAN” for investors, opened through MFU – single documentation process

Centralized Transaction submission and payment

Centralized NCT management through CAN

Centralized Complaint Management

Benefits of MFU for You

Single form for multiple transactions thereby reducing burden of handling multiple transaction documents

Single payment for multiple purchase transactions thereby reducing burden of handling multiple payment instruments

Single point time stamping of transactions, thereby reducing burden of submitting transactions at different offices/locations

Benefits of MFU for You - Contd ...

Multiple methods of transaction submission

Single point for requesting information

Consolidated industry view based on CAN

Eliminate duplication of processes/documentation

Standardization of Forms, Processes etc.

Comparison - Current Vs. MFU

Activity

Current

MFU

Account Opening

Fund Level - Separate Folios

Centralized - MFU CAN

Time Stamping

RTA - Fund Level - Multiple

Single - MFU

Document Submission

RTA - Fund Level - Multiple

Centralized - MFU

Data Feeds

RTA Level - Multiple

Centralized - MFU

Subscription Payment

Fund Level - Multiple

Centralized - MFU

NCTs

Folio Level - Multiple

Common - MFU

Complaint Registration

Fund Level - Multiple

Centralized - MFU

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