Sebi revises timelines for issuance of consolidated account statements

Capital markets regulator Sebi has revised the timelines for the issuance of Consolidated Account Statements by depositories to enhance compliance ease.

In a circular issued on Friday, the regulator said the asset management companies (AMCs) and mutual fund registrar and transfer agents (MF-RTAs) are required to provide common PAN data to the depositories within five days from the end of the month, instead of the earlier three-day deadline. 

After receiving the data, the depositories will then consolidate and dispatch the CAS to investors who opt for electronic delivery (e-CAS) by the 12th day of the month and to those preferring physical copies by the 15th day from the month-end, it noted.

Under the revised framework, in respect of half yearly CAS, Sebi decided that "the AMCs/MF-RTAs shall provide the data with respect to the common PANs to the depositories on or before 8th day of April and October every year".

Also, the depositories will then consolidate and dispatch the consolidated account statement to investors that have opted for e-CAS on or before 18th day of April and October and to investors those who have opted for delivery via physical mode by the 21st day of April and October, respectively, as per the circular.

The markets watchdog has also revised provisions regarding CAS issuance in cases where there were no transactions. If there is any activity in an investor's demat account or mutual fund folios, then CAS will continue to be sent monthly basis via email.

In case there is no transaction in any of the mutual fund and demat accounts then CAS with holding details shall be sent to the investors by email on half yearly basis, Sebi said.

Sebi highlighted that investors can opt for CAS through email or in physical form. If an investor don't want to receive CAS via email, they can choose to receive the same in physical form at the address registered address with the depositories and the AMCs/MF-RTAs.

These revised timelines will come into effect from May 14, the circular said.