You are here: Home » PTI Stories » National » News
Business Standard

BSE to levy transaction fee on AMCs using its MF platform

Press Trust of India  |  New Delhi 

Asia's oldest bourse today said it will levy charges on Asset Management Companies (AMCs) for using its mutual fund platform for sale and purchase of MF units.

However, the exchange said charges will not be applicable on individuals, mutual fund intermediaries (MFIs), mutual fund distributors (MFDs) and Registered Investment Advisors (RIAs).

The charges, which came into effect from yesterday, will only be levied on AMCs.

runs the mutual fund trading platform -- Star MF. The platform provides a range of services for easy transactions and seamless order flow for asset management companies.

"charges shall be applicable to participating AMCs or on Star MF Platform. There are no charges for MFIs, MFDs and RIAs to transact on Star MF Platform," the exchange said in a circular.

The exchange, on Wednesday, announced that it will levy charges, varying from Rs 6 to Rs 30, on all orders routed through its mutual fund platform from December in order to cover the costs of operations.

Mutual fund distributors can use the stock exchange platform for non-demat transactions as well for sale or redemption of MF products.

Star MF is the largest MF distributor platform in India with more than 4 lakh SIPs (Systematic Investment Plans) per month. On many occasions, the platform has exceeded 1 lakh orders per day.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Fri, December 02 2016. 14:28 IST