Amfi asks MF Central to stop sharing investor data with third-party apps

Move to impact loan-against-mutual fund, guided MF investment apps

The Association of Mutual Funds in India (Amfi) has asked MF Central, a transaction platform operated by CAMS and KFin Technologies, to stop sharing investor data directly with fintech applications, said people in the know.

 

At present, several online applications, especially those that offer guided mutual fund (MF) investments and loan against mutual funds, access investor data through MF Central. The platform provides the data by taking investor consent through one-time passwords (OTPs).

 

The issue with this setup, according to MF officials, is at multiple levels-- concerns around data security and possibility of investors providing consent without realising. MF distributors