To enhance transparency, the Securities and Exchange Board of India (Sebi) had asked fund houses to disclose all details of debt and money market securities transacted, including inter-scheme transfers, in the schemes’ portfolios on their websites.
The regulator had also mandated fund houses to forward this information in a prescribed format to the Association of Mutual Funds in India (Amfi), which in turn is required to consolidate and disseminate these.
Sebi had asked MF houses to make these disclosures settlement-wise, on a daily basis with a time lag of 30 days. Some fund houses have started disclosing this information on their websites, while many are yet to do so. This information could not be found even on the Amfi website .
In a recent communication to MF houses, Sebi had asked them to send a letter confirming the compliance of its circular dated February 28 on this matter, by April 2.
“The Sebi circular was effective from March 28 onwards. We have already put this information on our website. We are also sending it to Amfi. But, I am not sure whether they are giving this information on their websites,” said a senior executive of a domestic fund house.
“Many fund houses are yet to give these disclosures on their websites. But I expect them to do so in the next few days. Amfi should also start giving this information,” said the chief executive officer of another fund house. Both executives spoke on condition of anonymity.
According to the format prescribed by Sebi for reporting debt and money market transactions, fund houses have to disclose information like the name of the security, scheme name, maturity date, residual days, settlement type and date, trade date and valuation date.
They are also required to disclose the quantity traded, value of the trade, price, yield at which the security was valued and the type of trade.