AMFI had its
Annual General Body meeting on July 27, 2000 and A. P. Kurian, Chairman presented the 5th
Annual Report. He highlighted the following major activities of the last year:
- Finalisation of uniform valuation methodology for unlisted debt securities and thinly
traded equities.
- Formulation of a certification programme.
- Finalisation of policy in respect of recognition, provisioning and disclosure of
non-performing assets of mutual funds.
- Introduction of Operational guidelines on advertisement including sales and promotional
literatur.
- Recommendations made on various subjects such as income equalisation accounting,
expenditure chargeable to mutual funds, investing in mortgaged backed securities,
treatment of unclaimed dividend/redemption value, norms regarding frequency of disclosure,
formation of Audit Committee, Valuation Committee etc.
- Setting up of a Standing Committee on Best Practices to promote healthy and fair
practices in all areas of operation of mutual funds.
One of the major recommendations made by AMFI to the Government was to introduce an
Individual Retirement Scheme, on a tax deferment basis. In the area of Investor Education
the advanced training programme for agents was continued and in several cities the
programme was conducted. AMFI in association with other bodies organised several investor
awareness programme. AMFI has taken a new initiative in co-sponsoring the Investor
Education Programme organised by UTI-Institute of Capital Markets alongwith Stock
Exchanges in different parts of the country. So far five such programmes have been
conducted at Calcutta, Delhi, Mumbai, Nashik and Chennai. AMFI has a close interaction
and consultation with SEBI on various matters relating to mutual fund industry. A. P.
Kurian, Chairman in his statement to the members said that AMFI will continue to work
pro-actively and intensively to promote the Indian Mutual Fund Industry on healthy lines
and reach international standards in all areas.
MUMBAI
July 27, 2000 |
