Many people have this question and doubts relating to the process of how to become mutual fund agent?
Becoming a mutual fund agent is an easy process; you need to follow certain steps to get yourself registered as a mutual fund selling agent.
1) Pass the NISM series V-A: mutual fund distributors certification examination.
There are no specific eligibility criteria for the post of a mutual fund agent. But you must have cleared the NISM's mutual fund distributors exam to start working as a mutual fund agent or a distributor.
Like all other exams, this exam also demands you to study intensively and do well planned and organized preparations. The question how to become agent of mutual fund is very common. So, it is better to start preparing rather than just wondering, preparation is the only onley key for one to become mutual fund agent.
Only 60% of the applicants pass this exam, so taking this exam with no or little preparation is not a good idea. There are plenty of mock tests and practice papers for you to practice and prepare yourself for this exam. People over the age of 50 years can be exempt from this exam by taking the one-day training exam offered by NISM, which is also known as NISM continuing professional education (CPE).
The mutual fund agent registration for the NISM series VA mutual fund distributors certification exam will cost you Rs. 1,500/- and the NISM mutual fund CPE costs Rs 2500/-. You will receive the certificate about ten days later.
How to become mutual fund agent? Or How to become mf agent?
The whole process of mutual fund agent registration and enrollment for both of the exams is completely done online. A mutual fund agent list will be available online to help you choose the might MF.
2) Register yourself with AFMI through CAMS office.
After you qualify the NISM series V-A exam, you become eligible to work as a distributor. Another key procedure you need to go through is the KYD or the know your distributor procedure along with your application form for the AMFI registration number (ARN).
The ARN application form is a small application form in which you need to fill certain details such as your name, address, qualifications, bank details, attach a photograph, etc.
The fees for this form is Rs 3000/- along with some applicable GST. This has to be made in the form of a demand draft.
These duly filled forms need to be submitted in any of the CAMS offices. In case you are not a KYD applicant, you are required to be physically present in the CAMS office while submitting your form along with your biometrics. Once you submit your form successfully with all the required documentation, you will receive your ARN card at your registered address within a couple of days.
3) Register with AMCs
Once you receive your AMFI mutual fund agent registration number, you become eligible to distribute mutual funds and for mutual fund commission to agents. There is another small procedure you'll have to do before you start your job. You would need to register yourself with each mutual fund house so that you receive a mutual fund commission to agent, application forms, marketing materials and other things. There are a lot of mutual funds houses available, and you can choose the best or the top 5 or 6 of them to work.
So to summarize all you need to start working as a Mutual fund selling agent or distributor, you need to follow all the steps mentioned above. This whole process takes about one month or two, which includes the time for the preparation as well.