In the unfortunate event of the demise of a Mutual Fund Distributor (MFD), the processing of Trail commission, and AUM transfer and payout shall be governed by the guidelines issued by the AMFI, along with the procedural requirements prescribed by the respective AMCs.
1. Eligible Claimants:
Nominee:
A nominee is a person registered by the partner at the time of empanelment to receive his/her entitlements in the event of demise.
Nominee cases generally involve simpler documentation and faster processing.
Legal Heir:
A legal heir is a person legally entitled to claim the partner’s benefits when no nominee is registered.
Additional legal documents are required to confirm eligibility.
2. ARN Status of the Claimant:
ARN Holder:
An ARN Holder is a claimant holding a valid and active AMFI Registration Number (ARN).
Eligible for AUM transfer
Eligible for continuation of trail commission
Non-ARN Holder:
A Non-ARN Holder does not possess a valid ARN.
Not eligible for AUM transfer
Eligible only for trail commission payout
No continuation of distributor business
3. How Eligibility Is Determined:
The combination of:
Claimant type (Nominee or Legal Heir), and
ARN status (ARN Holder or Non-ARN Holder)
4. Transmission Documents Ready Matrix - Reckoner:
| Documents | Nominee | Legal Heir | ||
| ARN Holder | Non-ARN Holder | ARN Holder | Non-ARN Holder | |
| Request letter | Not-Required | Required | Not-Required | Required |
| Bank Proof | Required | Required | Required | Required |
| Death Certificate | Required | Required | Required | Required |
Internal AUM Transfer / Payout | Yes, Payout | Only Payout | Yes, Payout | Only Payout |
| List of Folios | Required | Not-Required | Required | Not-Required |
Trail Commission | Yes | Yes | Yes | Yes |
| Annexure 1C Mail to Investor | Required | Not-Required | Required | Not-Required |
| Annexure 5 Transfer of AUM | Required | Not-Required | Required | Required |
| Annexure 6 NOC from other legal heirs | Not-Required | Not-Required | Required | Required |
| Annexure 7 Individual Affidavits | Not-Required | Not-Required | Required | Required |
| Annexure 8 Bond of Indemnity | Not-Required | Not-Required | Required | Required |
5. AssetPlus Internal Process
Once all required documents are submitted, verified, and approved:
Transmission is processed
AssetPlus initiates the Internal AUM transfer, wherever applicable.
In cases where Internal AUM transfer is not applicable, trail commission payout is processed.
6. Internal AUM Transfer Procedure:
Please refer to the below link for detailed internal AUM transfer guidelines:
https://assetplus.freshdesk.com/a/solutions/articles/44002663280