HDFC, ICICI mutual funds face protests for cutting advisors' commission

The MF industry has been trying to come to terms with the rationalised expenses structure, with effect from April 1, 2019

Mutual fund (MF) advisors have cranked up protest against two of India’s largest fund houses — HDFC MF and ICICI MF — seeking explanation for the cuts in commissions and pointing out the potential impact on sales of MF products.
 

The Foundation of Independent Financial Advisors (FIFA) in its communication addressed to Milind Barve, managing director of HDFC MF, and Nimesh Shah, MD of ICICI Prudential MF, said: “Many of our members and the distribution community are dependent largely on the commission income, the reduction of which leaves very little incentive to the distributors to market the products.”

“We have not