Want to invest more? Get ready to reveal more

Come February 1 and investments above Rs 50,000 will have to comply with new norms.

Mutual fund investors will now have to provide the following details:

* Photo identity proof

* Proof of residence

* Disclose financial status by disclosing their income bracket

* PAN card, not just the number

Association of Mutual Funds in India (AMFI) Chairman, AP Kurian says, "Under the Prevention of Money-Laundering Act, we have to do this. This is requirement under the law and we also accept it. We tried telling the Government that we are transacting through banks and we are taking PAN cards, so we should not be asked to do this, but the Government, in it's wisdom says no you will have to follow the new rules."

And that's not all! To simplify the process for investors, AMFI and Central Depository Services India (CDSL) Ventures Ltd. have signed a venture for an investor database.

So now, new investors have to provide their details and a PAN card to CDSL Ventures Ltd., which in turn will give details on request to the the various fund houses.

Courtesy:ibnlive.com
Complete artical HERE