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Mandatory KYC from 1 January

Know Your Customer (KYC) requirements will be mandatory for all investors irrespective of the amount invested. Know all it takes to be KYC complaint

The Securities Exchange Board of India (SEBI) has prescribed certain requirements relating to Know Your Customer (KYC) norms for financial institutions and financial intermediaries including mutual funds to 'know' their clients. This entails verification of identity and address, financial status, occupation and such other professional information as may be prescribed by the guidelines, rules and regulations.

Applicability of KYC norms
KYC is compulsory for all resident individuals, non-individual investors (corporates, partnerships, trusts, HUF, etc.), non-resident investors (NRI), persons of Indian origin (PIO) and investors investing through channels partners or channel distributors, for any amount of investment.

How to complete the KYC process?
You need to submit an application form along with relevant supporting documents to CVL (a wholly owned subsidiary of Central Depository Services (India) Limited) through its Points of Service (POS). The list of POS is available on www.cvlindia.com and www.amfindia.com. For downloading the KYC form you can visit the download section of www.cvlindia.com where both the 'fresh' and 'for change' request forms for a KYC for both individual and non-individual investors are available. Once the KYC process is duly completed in all regards, the investor needs to produce a copy of the acknowledgement when investing for the first time in a mutual fund. There is no need to repeat the KYC process individually for each mutual fund.

What are the supporting documents required?
Individual investors will have to produce their proof of identity and proof of address.

List of documents admissible as proof of identity:Original PAN card + self-attested photocopies (originals will be returned over the counter after verification).

List of documents admissible as proof of address: driving license, latest telephone bill, latest electricity bill, latest bank passbook, latest bank account statement, latest demat account statement, passport, ration card, registered lease or sale agreement of residence, voter identity card, proof of address issued by bank managers of scheduled commercial banks/multinational foreign banks/gazetted officer/notary public/elected representatives to the legislative assembly or parliament/a document issued by any government or statutory authority.

Are you KYC compliant?
In order to the check your KYC status, you need to visit www.cvlindia.com, and click on 'Inquiry on KYC'. Thereafter, you will be asked to submit your PAN number and will instantly be updated about your KYC status.

Investors must attach the copy of KYC acknowledgement letter along with the investment application form or transaction slip while investing for the first time in the folio of a mutual fund. Applications by investors without valid KYC acknowledgement letter are liable to be rejected.

New KYC form http://www.cvlindia.com/include/pdf/KYC%20Individual.pdf