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i want to stop and withdraw my HDFC MF

Dear Sir, I also a IFA, started business from 22/06/2019. Now in this days i saw my friends and many other poeople are doing invest direct plan without any advice or any scheme related queries. Groww or Paytm Money or like others app coming in the market for Mutual Fund Business, and they provide others products like bond, gold, stocks. But they advise go to direct plan and save your 1% commission. when i open Youtube then the advertise open in front. So many people dont know how to work Mutual Fund or related schemes. They also seen scheme performance and return and invest there but which fund good for investment they dont know. Its like without teacher you can complete Graduation from Google classes. Its like treatment without doctor and people saw the medicine form google or youtube and buy the medicine from online. so, what is the result without teacher, doctor, or Advisor? Now i seen the SIP return in REGULAR Plan better then Direct Plan. You can compare the return in Groww App direct plan SIP any of schemes and regular plan return in money control for 5 years. They are cheating with people. and people are dont know how they cheat and dont research its. Why SEBI can allow to direct plan? I know it is profitable income for SEBI but its income sources of many people of Indias IFA. TODAY DATE 31/03/2021. Started Sip with Groww App for Direct Plan in UTI Flexicap Fund for 5 years, total Amount Invest Rs.60000 and today Current value is Rs.92722,Annualised Returns 18%. Started Sip with Regular Plan in UTI Flexicap Fund for 5 years, total Amount Invest Rs.60000 and today Current value is Rs.98412, Annualised Returns 19.89%. so i request to all IFA please discus about the matter and againsed direct plan. and how to close the direct plan can discus.

One can not stop that mentality of Muze Commission nahi melega to chalega Lekin Is bande ko nahi milana chahiye. I strongly support banning Direct Mode. Sell only thru Distributor or Banks

Direct plans should stop as soon as possible. Direct plans create unemployment, unsecurity towards the career as advisory business.

This is a very difficult thing to do. There are always a few independent protagonists who have no other job but to talk about investor protection. They do not see the unemployment being created by the Direct mode. I do not think there is a proper cost evaluation of the direct mode. In direct also the AMC has to employ additional staff who is well trained in selling the product and also to meet service issues the costs incured by them as well as CAMS/ Karvy . Are these costs properly added to the direct mode? In a country where the mf penetration is only 6-7% cost reduction should not become a priority as compared to good advice. Today Direct is the greatest threat top our business and should be banned. When it came I did tell my other IFA friends that this is the death knell for the distributor community. Website like Value research puts the direct plans with the regular so that gradually it shows that the former performs better than the latter.

I feel that AMC has no right to send emails to clients and promote direct Plans, CAMS these days is very active and promoting its " MY CAMS" platform to those clients whom we IFAS has brings with numerous efforts, and If they are doing so it should be with the concerned distributor only.NO DIRECT PLANS

STOP Direct Plans..... We support...

i agree with rajiv jhaveri

ONE TER & ONE RATE for all clients. COMMON EQUAL RATE for all class of clients is the best way forward. It also means SABKA SATH SABKA VIKAS. Please stop all protections of lower charges for any class. We distributors should not be victim of step behavior & this injustice should stop.

I support to stop direct. Huge loss for investor community as well. It is like penny wise and pound foolish.

I think the fight should not be towards closing the direct option, rather we should fight for its right implementation - like- issues related to online transaction at MYACMS or AMC websites, advertisements on online portals etc. I really look forward to these associations and forums to show us the right path. They should join hands and workout some logical solution to this problem; and the problem is - constituents are not listening or not able to understand the issue !

In operation activity of Online transaction of any MF, Customer needs to fill up ARN code and EUIN Code. It is highly possible that end customer does not take care of remembering of his Distributor''s ARN code and EUIN code. For a moment, let us think that you are acting as a End Customer. When you are going to purchase a new scheme or want to have additional purchase, will you bother to make entries of your Distributor''s ARN and EUIN Code? No. Never. This will never happen. In my suggestion, Direct Plans should be different than regular plans. And there should not be ''One to One'' matching of Direct Plans to regular plans. By promoting Direct Plans, AMCs maintain only one Fund Manager to manage Direct Plans as well as Regular Plans. Thus AMCs saving Costs of Fund Manager and Back office Costs. Let us see that in Life Insurance Business, there are Online Term Plans which are different than Regular Term Plans. But Only ONLINE TERMS PLANS are available. Life Insurance Companies did not launched all the plans in Online version. It is fact that no body worries about the MF industry. Direct Plans are killing the Distributors in any way. Some suggestions are: 1. Stop Direct Plan. Rename it as Online Plan. Only one Direct Plan is allowed in one AMC. 2. Like as in Life Insurance, there is only one scheme of Online Plan. MF Industry should also practice only one product in Direct Plan hood. Or at least one as per Asset Class Model like One Direct Plan in Equity, One Direct Plan in Debt and one direct Plan in Balanced etc. 3. There should be no matching of ''One to one'' schemes in Direct plans and regular plans. 4. If any follio created through Distributor, let it remain through Distributor only throughout the life time of that follio. 6. Please suggest how should the Direct participation of HNI/ Industries/ Banks should be treated. Thanks.

I also support to stop direct Plan''s because as the SEBI want that every advisor should be qualified & Registered "Investment Advisor". When we are doing lots of study & research before advising any investment option to our clients than how it is possible that an individual who don''t even know the ABC of Mutual fund can benefit through direct investing & i also wish to draw kind attention of all IFA''s that these AMC''s are also fooling us by sending mailers to our clients and also giving them option to invest Directly. I feel if they are sending the emails to the clients of IFA''s they should not give DIRECT option to our clients.

has anybody questioned SEBI on ehy DIRECT in mutual fund and not in stock exchange

Direct plan is going to force maximum IFA to stop working after 4-5 years. Two different NAV for one scheme is going to force investor to stop investing in MUTUAL fund. Small investor i.e. 95 % of Indian citizen not going to invest in mutual fund unless regularly IFAs are going to their home to convince. My request to concern authority is to merge direct plan to regular plan to save the mutual fund industry. Rules and regulations must benefit to 95% . Present rules of mutual fund only benefiting 5%. I strongly support to stop the direct plan.The Mutual Fund industry has collapsed due to vested interest based suggestins given by some AMCs and HNIs to the advisory board of SEBI.It would have been better if Banks were asked to concentrate on core banking business than fee based activities.The fee/commission based activities or banks have brought in greed leading to excessive churning and corrupting the whole MF industry.Neither the direct business could do any improvement to the inflows nor any amount of investor training could improve the same.Only abolition of direct business and adequately remunerating the hard working distributors can only bring in back the momentum in the industry.It is shameful that regulators like SEBI,RBI yield to pressures brought about by big industrial houses by way of excessive lobbying without caring for the genuine investors.Nobody wants to do charity and neither will the IFA community should do any charity because we had brought up the MF industry from its childhood days and we will always be proud about the same.

Direct plans are like self-prescriptions ,they can do lot of damage to the financial health of investors. The central point in any advisory is the outlook of future, and it''s effect on earnings of various mfs.It is a difficult call under best of circumstances,how can one expect an average investor to take a view on it.

its the handiwork of some AMCS with SEBI qwhich is trying to destrou the golden egg laying hen, they are of the view that they can lay their hand on the booty but friends beware its us distributors who educate the investors and we who make them customersor convert them, rmf tried by opening offices in 2008, hdfc tried by online etc but they are doomed to fail

WHICH MANUFACTURE SAYS OTHER PRODUCT IS GOOD? SO EVERY CLIENT GO THE ONE AMC THEY GIVE OUR PRODUCTS, AND CAMS, THE OTHERS. PEOPLE FACE THE LAW SIDE ISSUES GOES ONLY THE LAWYERS BUT THEY ARE NOT GOES LAW BOOK MANUFACTURERS PLEASE STOP DIRECT OPTION

Banks should do their core business and not sales of insurance, mutual funds , stock broking etc-Ministry of Finance ! We welcome finance ministry''''s viewpoint. Message is clear that all should do their own business. Misselling & churning must stop. It is a message for all Ifas & Amcs also. AMCs business is only Management of Money & not Distribution. We hope Amcs will realize it soon. Now We can request our New Government to solve this biggest problem faced by us. Direct plan is a biggest problem for all of us. If we all give constructive suggestions for an alternative structure. which can protect interests of all participants & Investors, direct plan can be stopped. I will request all distributors to take maximum benefit of this new situation to solve our problems.

Dear all IFAs, In last 5-6 years SEBI and AMFI have launched massive operation to eliminate the retail business of mutual funds without investing anything for investor education. The Pandora''s box opened with a personal vendetta of Mr. Bhave, then SEBI chairman with some IFAs that he ordered vanquishing entry load for the investors who go directly to the AMC. Then came mandatory PAN quote, then compulsory KYC, then elimination of trail for broker change, the Financial Adviser Regulations, then EUIN duplication for Individual Advisers identity. All decisions were taken by bureaucrats without gauging the reaction on the distributing community and the impact on market. This shows the arrogance of bureaucrats towards smaller entities only. But I would like to say here that sooner or later they will start realizing their fault. Thank you.

The major disadvantage of direct plan is that the investor is being recommended ( infact sold) that scheme which is in the target list for that month of the amc sales person without having a clear understanding of the facts about the investment habits and financial situations of the investor.Infact an amc is interested in building up aum. Such a recommendation may do harm than benefit for the investor. As said by Mr.Rajiv,it can encourage unfair competition between amcs & its distributors.

Direct plan is going to force maximum IFA to stop working after 4-5 years. Two different NAV for one scheme is going to force investor to stop investing in MUTUAL fund. Small investor i.e. 95 % of Indian citizen not going to invest in mutual fund unless regularly IFAs are going to their home to convince. My request to concern authority is to merge direct plan to regular plan to save the mutual fund industry. Rules and regulations must benefit to 95% . Present rules of mutual fund only benefiting 5%.

Mr Aashish P Somaiyaa of Motilal Oswal AMC should understand one thing....... MF products are not like Onion, potatoes, Tomatoes, Chawal, Daal etc... He must understand the concept of Mutual Fund rather than comparing it with drugs... He is from AMC industry that is why he is supporting Direct Plans for the sake of his jobs... All AMC guys are really selfish and have lot of egoisms... They do their jobs in typical unprofessional ways. I had bitter experience with a south indian bank sponsored AMC guys from Kolkata branch... They have professional jobs of hijacking corporate clients from IFAs... I prefer not to name them in this public portal... May I request Mr. Somaiyyaa to desist from comparing MF products with consumption products...????

Dear Ravikrishnan, & all distributors, & all authorities, I suggest SEBI to pls withdraw the dual plan structure. On one hand everyone wants retail investments to come. On another hand authorities are using the clients data gathered from IFAs'' applications to convert the clients to the other plan. What is the prospect or expectations a distributor remain in the client ? Distributor find & develop clients, AMCs simply stealing them to other plan.I suggest IFAs again to don''t give your clients PHONE NUMBERS and EMAIL IDs of your clients in the application forms if you want to retain your clients. Service your clients from your end. If you have more numbers of clients appoint separate staff to service the clients. It will ensure your clients retention. There are certain AMCs thinking that we have top equity AUMs and the biggest SIP book size , So we don''t need to worry. But as I said my earlier comments elsewhere they are feeling the heat now. The SIP book started showing negatives. I suggest AMCs to change your organizational strategy. Ask IFAs what they actually need to develop this business. Dear All AMCs, be wise don''t be foolish by cutting the lifeline of your business.

Before launch of direct plans,SEBI should have announced that it will be a criminal offense if any body will share financial information of the investors. Previously only the Indian bankers was having this privilege and now AMC,s also have this privilege, thanks to R & TA. It is mockery of system,on one hand SEBI wants us to register as investment adviser and on other hand it is free for AMC,s to approach a client with all his/her data and pitch it against us.SEBI wants that we should charge fee for our advice but forget it that when it is available mostly free then nobody will be ready to pay even a penny.AMC,s are allowed to charge their full funds management fees without any legal responsibility where as we are open to court cases/ revoke of licenses.

Its very difficult to stop DIRECT PLAN... Once you give a penny to a beggar, will you get it back...??? Similarly, SEBI already implemented Direct Plan to those investors, who comprise just a drop in an ocean. Majority of clients are fully unaware of their financial plannings nor they have ideas where to park their hard earned money. So they are totally depending on professional IFAs. So there is nothing to worry for professional IFAs like us. If you are Professional, You must restrict yourselves to your regular clients,give them sound advises and service them well..then your clients wont leave you behind. They will give reference to their friends and relatives. This way you will survive well..

The points raised by Raghuramam,Hyderabad,82836 in his post on 15-Oct-2013 as quoted below appear tenable. Monopolies and Restrictive Trade Practices Commission (MRTPC) should take note of such unetical business practices on the part of AMCs QUOTE"Hi, Lets us confine to fair play. An AMC is free to sell all its products through its own sales team. but there should not be conflict of interest. Here are 2 counts on which differential NAV for direct plans is immoral and un ethical , in a way illegal. 1) The lower cost of fund management fees is not achieved by the volumes sold in by the AMC''''s in direct plans. Its actually the benefit the advisors got in , being gven away as a discount to direct channel investors to woo them. 2) Imagine this , If an adviosr pays back a little from the brokerage back to the investor- it is called PASS BACK , and is not legal. How on earth , the same thing being done by AMC is legal, and ethical? Hence , an AMC shall be allowd to choose freely to be in only in direct mode or or in channel mode only , and not both. In case , if AMC wants to sell directly , let them do , without differntial pricing. If an investor wants to do direct investing , there is Quantum AMC. Its not that , there is no choice for the investor. So SEBI bringing in this regulation is not meaningful in first place. 3) There is no fixed discount too... diferrent schemes have different levels of discounts for the direct channel. This is total lack of transparency. 4) The surprising thing is that , till now not a single AMC , openly spelt out if , they are against direct plan nor they are in support of them." UNQUOTE

Dear Asish, Lets be open. The financial literacy in our country is so low, that , about 90% of bank staff , and almost 100 % insurance staff ( that I interacted with) are not even aware what a liquid fund is. Then , how can we say that MF''s are over the counter products? The differetial pricing of direct plans and the channel plans is the simple route the AMC''s have chosen to bypass the IFA. At least , if its not the case , when a folio is created through agent , and if an investor tries to transact on line , at a later date such folios should not be open for the direct investment! But , there , they get the icon Direct / Regular.This is not fair proposition. And in case , I do not use the online facility , its loss for all the three participants( Client , IFA and the AMC). Our point is simple , treat us part of the supply chain and share with us , an appropriate fraction of the fund management fee. The introduction of direct plans has broken this paradigm. Killing the doctor will not save the patient , nor the pharma company!

Welcome Mr. Somaiyaa. Thanks for expressing views. We all welcome you in the discussion. I invite & request ALL OTHER AMC’S AUTHORITIES TO TAKE PART in the discussion on this most serious issue. Firstly we can not compare any two markets. Everywhere there are different situations. Sir there are two types of doctors. One type of Doctors prescribe medicine & patient buys that medicine from the store. Second type of doctors give medicine from their clinic. Both types of doctors are highly educated & we have highest respect for them. But all manufacturers’ sale medicines to the doctors at a lower price than it is available in the store. Here our mfgers sale at lower price to the investors & Also distributors are forced to sale at a FIXED HIGHER PRICE. We are not allowed to change our price. Distributors are in unfair competition with manufacturers who already have cost advantage Even then here nobody is worried about direct plans. Here we all are protesting, raising our voice against this injustice & also trying to find alternative structure by way of discussion. We have no problems with direct concept. But off course we have many problems with difference in TERs. If commission paid, is separately charged from the investors than How empanelment of distributors is a logical procedure? Direct plan reduces value & importance of ARN number. Is it beneficial to the Industry? What is the future of patient who takes medicine directly from the store? What Will be the impact on goodwill of the industry due to this type of unsatisfied clients? Will it increase sale of any Plan? Once again I thank Mr. Somaiyaa for taking a part in this discussion.

in last one year i have met nearly 145 people to discuss about Mutual Funds. Surprisingly 84 places people were not aware about Direct Plans but for the rest 61 investors, they have discussed a lot about direct plan but at the end they have invested through me. My reading after this is the direct plan is just creating Neucence i hve not found any investor who has invested directly. It is really illogical to have this plan in market because of two reasons. a. Its just creating confusion among investor and distributor they are just quering about it. b. It is unethical to have the same products with diff pricing.

Mr Aashish P Somaiyaa should understand that IFAs are the life line of Indian Equity Mutual Funds. Thousands of IFAs have worked hard for years and is continuing. But yours is one of the worst comments against the distribution fraternity. Why are you taking the unfair advantage of regular plan ? It''s totally cowardly & shameful for the entire Mutual Fund Industry in India. If are so much adamant in continuing direct plans then why don''t you do it through an NFO route. You have your own sales team to mobilize direct plans. You don''t need the support of distributors. It''s your problem to find the minimum funds to start a direct plan NFO. This dual pricing for the same product is the worst thing which can happen in the financial services Industry. AMCs know that distributors are human resources. Their strategy include-Let us use this human resources in such a way to find new clients for us , gather the clients contacts, educate the clients about the direct plans( by disguising that investor education & awareness program- with the support of authorities). The future of business is online / email marketing. Get maximum contacts, then, once we are in such a position to stand tall, lets leave the distributors. I call upon the entire distributors in India to stop giving contact details of your clients in the application forms. No email ids, no mobile numbers, no telephone numbers etc. If AMCs want to contact the clients let them contact the distributors. We will service our clients.

If you are worried about Direct Plans just step back for a moment and think of the pharma industry. Just because there are some drugs available Over The Counter, does it mean the doctor''s practice is stopped? Do you ever see a doctor prescribing that you have crocin and then charge you a fee? Will you allow a doctor to earn if he prescribes you crocin or saridon or action 500? So then why do you expect your earning will be protected for recommending products that are easily available and customer can buy directly without your diagnosis, advice or prescription. You need to advice clients on funds, ideas and products that they are not aware of and that they wouldnt have come across an idea of buying directly. Mutual Funds are prescription products, yes there are some which are acting like Over The Counter, its up to you to find your way in the current scenario.

Dear Friends , This is my humble submission to all my friends , let us start writing our emails to Finance Minister , SEBI Chairman, Financial services secretary of GOI , RBI governor related to our concern regularly and share the plight of our distribution community .Hope it will help us to protect us and our business . There should be no price differential of the same product through various channel .Really its unethical and there is no level playing field .

The more we say SEBI will keep doing the same.Please see what happened to NSE terminal way of selling and buying MF.The first and basic is one password for all AMC reports even that nothing has happened.Direct selling will take place for sometime after that till will die on his own.

Direct plans must be stopped immediately .

direct plan must be removed for retail & hni category it will not made any investor wealthy i ask govt to why it is so pl. stop it.

Friends, there can be different channels for selling any item in the market and so can be with the AMCs selling MFs. But, as an example you can buy milk from a dairy outlet or thru various dealers but the selling price remains the same. Likewise AMCs may sell MFs dierectly but the selling price of units have to be the same as offered thru Distributors. Having different NAVs for Direct and thru Disributors is not only outrageous but ethically wrong. This differential price is helping AMCs earnig more profits but not helping the industry in general or investors in particular. Differential pricing has to be stopped immediately in the overall interest of the industry.

Mr.Sam Koshy''s views are correct.

Thousands of distributors worked hard for years and continuing to create this Industry as it is now. As it is the distributors who mobilized the Assets to AMCs, why AMCs are allowed to take the benefit of the work done by distributors. SEBI Should ban all direct plans. If any AMC want to continue then let them come through an NFO route. Let their employees mobilize funds directly for their direct plans. Let them mobilize minimum AUM (25 crore as per SEBI rule)to manage a fund. If an investor switch from regular to direct, then the brokerage of the respective distributor is clawed back, then the direct plans should be treated as separate schemes. let them begin the fund with the initial NAV 10.00 as always. Why are they taking unfair advantage of the funds mobilized by distributors? It is not only cowardly but also shamefull for the entire fraternity. The most painful thing is the regulators are still not convinced about the conflict of interests created by direct plans.

Direct plan is very much harmful for the future of mutual fund Industry. There are lot of wrong things happen with Financial sectors. Sebi should merge direct plan with regular plan and give importence to IFAs.

Existing folios should not be allowed to be converted to direct plan. If someone can manage their investments, let them open direct plan folio separately.

I think the "Direct Plan" shall meet its own death, just becouse a retail investor is simply confused by advertisement posted on website or newspaper by funds houses. How much an investor is learning from so called ''investment educational programmes''. It is any body''s guess.Do investors make self-assesment? If fail, then they curse MF industry. Off-course, I read all educational programme. Investors, especially for mutual fund'' need constant advice from IFA''s. Otherwise disband IFA''s. It is only liquid funds, that can be done directly, after advice from IFA.

Hi, Lets us confine to fair play. An AMC is free to sell all its products through its own sales team. but there should not be conflict of interest. Here are 2 counts on which differential NAV for direct plans is immoral and un ethical , in a way illegal. 1) The lower cost of fund management fees is not achieved by the volumes sold in by the AMC''s in direct plans. Its actually the benefit the advisors got in , being gven away as a discount to direct channel investors to woo them. 2) Imagine this , If an adviosr pays back a little from the brokerage back to the investor- it is called PASS BACK , and is not legal. How on earth , the same thing being done by AMC is legal, and ethical? Hence , an AMC shall be allowd to choose freely to be in only in direct mode or or in channel mode only , and not both. In case , if AMC wants to sell directly , let them do , without differntial pricing. If an investor wants to do direct investing , there is Quantum AMC. Its not that , there is no choice for the investor. So SEBI bringing in this regulation is not meaningful in first place. 3) There is no fixed discount too... diferrent schemes have different levels of discounts for the direct channel. This is total lack of transparency. 4) The surprising thing is that , till now not a single AMC , openly spelt out if , they are against direct plan nor they are in support of them.

I fully agree with Mr. T S A Easwaran,Coimbatore in this regard.Secondly Entry load must be brought back as IFA''s Expenses are increasing day today in providing services to clients.IFA has to bear so many expenses ( like software, Electronic Equipments,Office Rent and maintenance, Staff salary, Conveyance, house hold expenses etc) which are increasing so rapidly. Requesting SEBI to reconsider our problems and also treat us as part of MF Industry.

ALL DIRECT PLANS SHOULD BE STOPPED IMMEDIATELY. REGULATOR SHOULD LOOK INTO THE MATTER SERIOUSLY.

ALL DIRECT PLANS SHOULD BE STOPPED IMMEDIATELY. REGULATOR SHOULD LOOK INTO THE MATTER SERIOUSLY.

ALL DIRECT PLANS SHOULD BE STOPPED IMMEDIATELY. REGULATOR SHOULD ISSUE INSTRUCTIONS TO THIS EFFECT. THIS WILL HELP IN THE GROWTH OF MF INDUSTRY AS ALSO WILL GIVE CONFIDENCE TO DISTRIBUTORS MENON EK

Abolition of Entry Load, Requirements of KYC''s, introduction of colour codings for different types of MF and now Direct Plans is causing lot of dis interest inIFA community.

I have already stated in different discussions that Direct Plan options needs to be stopped AS SOON AS POSSIBLE. This is not only against the interests of IFAs but also against the interests of Investors and MF Industry as a whole. There is a plethora of schemes and retail investor is lost in the jungle due to lack of time to surf through the relevant information, resulting in loss and developing aversion to MF investments, which otherwise can do wonders to one''s life in the long run. Due to investor apathy, industry as a whole also suffers. Time for authorities to act in the interest of everybody through a win win situation by stopping Direct Plans ASAP. Let this awareness campaign continue till aberrations are corrected.

Higher commission for low amount of investment & lower commission for higher amount of commission. Very good suggestion. Thanks a lot Mr. T S A Easwaran.

Yes I fully agree to stop Direct plans in MF Industry. By this method no body is gained and it will make un healthy competition between AMCs and investor also not gain. Instead they can fix a slab to IFA s i.e for upto 1lac 2% and above 1 to 5lacs it willbe 1% and above 5 to 10 lacs 0.6% after that 0.4% up to 1cr. above that 0.25% brokerage charges will benefit all sections of investors and AMCs. This is my humble suggestion

Direct plan should be stopped immediately to protect the interest of IFA community.

Thanks to all distributors who have supported the request and made this discussion a great success. I hope Regulator & AMCs are looking for a sustainable growth of assets for the benefit of investors,distributors and industry as a whole. So my sincere request to all distributors is Please give Constructive suggestions to create an alternative system which can protect interest of all participants without any conflict. I hope more & more healthy suggestions for an alternative structure will be given in this discussion in coming days. Thus we can give clear indication about our intentions & priorities. When Regulators will be satisfied with our suggestions action will definitely follow.Once again I thank all distributor friends on extending huge support.

Mr Sam Koshy has pointed out a mistake in my comments of even date which is as under Dear Ms Vinita I have seen your comments in Wealthforum. Thank you for the comments. Pls note that the NAVs of the direct plans are slightly higher than that of the Regular Plans. You have mentioned wrongly in the comment. I thank Mr Koshy for pointing out the mistake which has inadvertatly occured and stand corrected. Read "The investor , tempted by higher NAV of direct plans" instead of "The investor , tempted by lower NAV of direct plans"

It is assumed by SEBI that retail investors have enough knowledge and they can take independent decision while investing in mutual funds. Retail investor however qualified he may be in his own subject does not devote and obviously can not devote as much time as is required to understand the dynamics of investing. Awareness programmes can only give them superficial understanding of the subject. In this world of overload of information-- some right some wrong-- a prospective investor gets confused and in the process the risk of taking impulsive decisions increases . The investor , tempted by lower NAV of direct plans avoids consultations with advisor and here comes the risk of investlng in schemes not suitable to his financial goals. Again, there is problem of follow up consultation with the advisor. Once he has invested in direct scheme, where would he go. Investment in MF is a dynamic proposition and therefore tne need for follow up consultation. SEBI provide for payment of advise fee to the advisor. Perhaps they are not aware of ground reality in this country. SEBI should compile data as to how many investors paid how much direct fees to advisors ever since the provision became effective. Further role of intermediaries in sourcing new clients can not be overlooked. A person intending to invest in traditional bank/ company FD can be diverted to MF route for his financial betterment given his financial goals in life. This can be done by IFAs only. It is high time SEBI do away with direct scheme in the interest of all concerned and particularly in the interest of investors.

MF investments involve some technicalities and principles. Therefore, the investors should be required to qualify some preliminary tests, before Direct Plan is allowed to them.Investores in general should rout their their transaction slips only through their distributors in order to minimise the risk/probable loss and maximise returns.

No positive development has taken place after introduction of direct plan. Common man is not getting any benefit. Only corporates & HNIs are getting all benefits that also at the cost of slowdown in the industry. Reduction in active distributors & also in AUM is definitely a slowdown for the industry. So all of us are strongly against direct plan & it should be stopped with immediate effect. New structure of the expenses should be designed in such a way that ALL CLIENTs & ALL participants can benefit from it.

Direct plan should be stopped immediately to protect the interest of IFA community.

from my view direct plan should be stop,because this is not fully benefitial for investors.investor is only investor,investor is not itself their doctor of finance.Investor can not track his investment or not judge that where should he invest.It''s totally depend on market performance & time factor.......where is solution of time factor & market performance? this is more important that miss selling either by AMC OR DISTRIBUTOR should be controlled,but direct plan is not a solution for investor''s protection.

Direct plan must be abolished forthwith. It is a fiasco as far as business from retail investors is concerned. Most of the business from retail investors under this category was secured by the the IFA earlier and when the investor approached AMC for further investment in that foio on the advise of IFA that was put under direct category . Further lured by the ads of AMCs , first an investor places the business directly, but subsquenty when he faces problems as happens in most of the cases he comes back to the IFA.

I AGREE TO PAYOUT OF DIST. UP FRONT BECOUSE IN THAT TIME WE HAVE A LOSET UPFRONT IN ALL THE SERVICE IND. SO WE REFER TO UPFRONT BROK.

Dear All IFA Friends, We all request SEBI to stop direct plans at the earliest to save the industry. I request every distributor to come forward with prospective,potential & constructive suggestions in this issue. We will take all & every possible step to present those potential suggestions infront of SEBI.

Dear sir, I would like to support you , because our investor are not very much knowledge about this mf investment. Direct plan divert their thought proses.

Totally agree

You are absolutely right . but SEBI is not favouring. Any way wait for good day.

I Agree

Remember we are living in a developed country. You can''t compare India with Europe and USA where people pay for advise. We as a individual IFA, try our best to procure business from retail investors. Even for a SIP of Rs 500, we go to him and collect the cheque and deposit the application in AMC. With direct form of investment, IFAs have suffered to a greater extent. Many of the IFAs have winded up their business. This is affecting many AMCs. MF Industry is in nascent stage where IFAs are required to procure business. The only thing required is to give them proper training by AMFI. Don''t blame IFAs for wrong advise. The example of JM Funds is an eyeopener. There must be action against JM Mutual Fund

Completely agree with your point of view .

Now,Regulator should again review and analysis the position of Direct Plan after taking complete data from AMC/RTA with break of Retail , HNI and Corporate Investors, Application size and Breakup of Equity and Debt. This analysis will definitely shows a ground reality to reconsider the policy decision for Direct Plan.

Past experiance had not resise the business of AMCs. so my request is to stop making conflicts between distributor services Vs Direct Investments. (stop Direct Plans) This will helpful to the Distributors to get & increase their business. Today very small number of active distributors is left in the system: WHY? Answer is Earning. Thow the government is taking so many steps for Increase business growth/ corporate developments then why not for MF Industries (IFAs)?

Disadvantages of Direct Plan. 1. It is beneficial only to (5-10%) informed & corporate clients. Common man, uneducated Class, Lower Income group & many others can not get any benefit from it. 2. It is against the principal of equality. It favors only a class of society. 3. It can encourage unfair competition between Manufacturer & its Distributors. 4. It discourages entire distributor community. 5. Direct plan leads to reduction in number of active distributors. 6. Bandwidth / Infrastructure mobilizing business is getting thinner. Reach to each citizen is more difficult in this scenario. 7. Absence of required bandwidth discourages habit of saving. 8. Absence of required number of distributors to convince investors to invest in Mfs (as it is a push product) indirectly increases flow of investment to gold & fixed income products. This is not a Healthy situation for any developing economy. 9. Industry is rapidly loosing assets under management received from retail clients due to absence of required number of distributors. 10. Life of assets of retail clients is much higher than those of corporate. So the Life of assets is also reduced because of direct class as investment of retail clients has reduced. 11. Introduction of direct plan has finished the importance & requirement of ARN card. 12. Direct plan is the biggest hurdle which is stopping aum growth. 13. So really speaking this 5-10% favorite direct class & direct plan is the biggest liability for the INDUSTRY. The loss they have given to the COUNTRY can not be compensated.

when each fact sheet gives nav of direct plan & regular plan ,where there is a difference .then it give temptation to investor to invest directly.to solve this problem amc should reduce their expenses equivalent by cost & fund managers should also get salary (incentive) when they will beat benchmark indices . Distributor who is getting very small amount which is less than his efforts is they are supposing expensive.they forget @ their salaries,perks which they are earning with efforts of distributor.for few years they should close all distributors & keep salaried people & get cost for collecting 1 crore rs what is the cost.i think it will be more than what they are paying to distributor,but they will not agree to this,this is same as one permannat worker & temporary worker.temporary worker working hard but getting less salary.no perks & no future,no security.when he stops working unitedly then everyone will realise on whose efforts they are sitting in a/c cabins & getting handsum remunerations.to keep their status they should learn to jiyo aur jeene do which is natures rule

Mutual Fund is not a simple product to understand by a common man. Lot of finance companies are collecting money and closing their boards. lot of Investors are loosing their money. Instead Of Discouraging Investors to Invest into Such schemes. Our Regulators discouraging Intermediaries to sell the well regulated products like Mutual Funds. So pls withdraw Direct Plan and encourage distrubutors and increase reach Mutual Fund Investments to common man.

I HE ARTFUL SUPPORT FOR YOUR DEMAND

I wish govt. regulators and high authorities should stop direct plans in mutual funds.

I strongly support to stop the direct plan.

The proposed anguish of fellow Distributors should be raised MOST EFFICIENtly because some of our unit offices/manager are playing foul practice by extended offer of commission to HNI investors directly,causing a direct loss of active distributors.Therefore such malpractices need to STOP EARLY.

PROMOTION OF DIRECT INVESTMENT IN MUTUAL FUND INDUSTRIES MEANS REAL DEATH OF MUTUAL FUND INDUSTRIES .MUTUAL FUND INDUSTRIES GROW WITH THE HELP OF RETAIL INVESTOR NOT HNI. THEN HOW REGULATOR WORKS FOR THE GROWTH OF MF IND.IT IS MATTER FOR CHALLANGE TO THE REGULATOR.

Strongly support to stop the direct plan.

I strongly support the cause.

it needs to stop.

stop direct plan because nothing is going to happen.investors want returns not direct plans

I SUPPORT CLOSED DIRECT PLAN.I THINK END OF DIRECT PLAN MUTUAL FUND INDUSTRY WOULD BE GROWTH.

The Mutual Fund industry has collapsed due to vested interest based suggestins given by some AMCs and HNIs to the advisory board of SEBI.It would have been better if Banks were asked to concentrate on core banking business than fee based activities.The fee/commission based activities or banks have brought in greed leading to excessive churning and corrupting the whole MF industry.Neither the direct business could do any improvement to the inflows nor any amount of investor training could improve the same.Only abolition of direct business and adequately remunerating the hard working distributors can only bring in back the momentum in the industry.It is shameful that regulators like SEBI,RBI yield to pressures brought about by big industrial houses by way of excessive lobbying without caring for the genuine investors.Nobody wants to do charity and neither will the IFA community should do any charity because we had brought up the MF industry from its childhood days and we will always be proud about the same.

Right said....agree...!!!!

yes,i also agree

First of all the direct plan concept is deadliest than entry load ban. we can somewhat accept entry load ban (because of the mistakes done by our own collegues), but direct plan is like striping you of everything and place before the investor for fees. May be five per cent is charging fees and they may even succeed.Congrats to them and the balance 95% is not like that. We have nurtured our client all thru and today if he is able to go diectly, it is not ethical. As one of my collegue''s mentioned, let the Government supply everything directly to client and then make this also direct ... until then this should be abolished.

Hi Rajiv ,I agree with you regarding Direct plan it should stop on immediate basis let says by month end.

Strong support to stop direct plan

we support to stop direct plan in mf industries

FOR INVESTMENT AN ADVISER HELPS TO SELECT A GOOD PRODUCT AS PER INVESTORS NEEDS FOR ACHIVING HIS GOALS WHICH DIRECT PLAN CAN''T DO IT.

Sir Even petrol sold world wide is through commission basis... what harm is there if advisor is paid a small sum to deliver their services & advice .

I have a suggestion. As an investor I want a well certified/qualified person who knows what he is doing and is providing me some valuable input. Currently I do my own research and give my application to my post office agent to submit. But I feel the need for an expert. Many agents have contacted me but they all give me a feeling of "JholaChhaap". Their should be some sort of exam other than NISM certification(which is just a formality). Also their should be NO UPFRONT BROKERAGE. Same commission of 2.25% should be paid to the "Certified" agent But only on a monthly/Quarterly basis so that he doesnt play around with my money and also remains with me to advise me regularly. And for that we are willing to pay entry load. This is what Govt should do:- 1) Devise some Good Exam so that the advisor is well qualified(I do not want to give my money to jst a formality sake NISM qualified) 2) Bring back entry load but commission only be paid in a deffered manner(This will ensure that the agent doesnt run away after one transaction or churns my money) This way advisor and investor both can coexist

Direct plan is an unwanted thing. It aims only at generating more profit to the AMCs. When a customer is doing some online transaction, evenif they click ''existing plan'', the system is asking for ARN No. EUGIN No etc of the distributor which he may not know. Finally the customer click ''direct plan'', and the business generated by an IFA earlier is finally converted to a direct plan. So the AUM already possessed now by the AMCs are only a diversion of such business as described above. So it is very much advisable to stop the direct plan. The companies may promote direct plan but the NAV''s should be the same and the profit that can be earned can be earmarked for incentives based on performance of IFA''s.

The 2 most nonsense expectations of our distributor community are 1) Stop Direct Plan & 2) Start Upfront I just don''t understand why don''t we grow up & start asking fees to clients. Myself & some of my IFA friends have printed/ modified visiting cards specifically mentioning ''''WE CHARGE FEES FOR FINANCIAL ADVICE'''', & people pay us. Even some customers deny to pay & then we deny to execute/service their investment plans. We should not be worried about people not investing thru us they are not our clients or ''jamai'' for that matter, let them invest directly. Today only 5 to 10 percent IFAs are charging fees. Infact when we all will start charging fees FOR our services everyone will start paying. And we can earn more than Upfront Commission we might get. Don''t try to roll back from such a nice & advisor friendly climate.

MUTUAL FUND SHOULD BE BOUGHT AND NOT SOLD. If we consider ourselves as IFAs ( Individual Financial Advisors) and not distributors, problem does not exist.

Distributor network is very Important to any retail Industry. Regulatory never find suitable solution, instead of solution they simply follow whats developed country follow that system they applied here. Instead of Direct Plan, SEBI Consider discount to direct investor.

DISTRIBUTORS WHO GETS COMMISSION AS MUCH THEY WORK AND ACCORDING TO THEIR NO OF CUSTOMER,THEIR CONTACT THE CUSTOMER S PROFILE AND KNOWLEDGE IN STEAD OF THIS SEBI PEOPLES STOPPED DIST. COMM ALSO THE PREFER DIRECT SALE AND THE PEOPLES ARE GREEDY SO THEY TRY TO SAVE MONEY AND HENCE THEY GO FOR THAT. INVESTMENT NEEDS SPECIALIST KNOWLEDGE AND THE DIST. AWARE ABOUT THIS THIS LIKE SEBI PEOPLE DO SUPPOSE YOUR ONE HAND INJURED INSTEAD OF TREATMENT FOR IT THEY IMMUTE THE HAND NA RAHEGA BAAS NA BAJEGA BASURI STOP DIRECT PLAN

The direct plans have completely failed to attarct small investors. The investment from small investors happens on correct advice and trust. The regulator should understand the basics of the sys

I agree with u please.

Every costmer is same so direct plan is a wrong.

I am agree with your suggestion because If nothing can bye directly why MF its ridiculous.

When I read the comments of you all the only thing that comes to my mind is - CHOR CHOR MAUSERE BHAI. If you are finding it difficult to sustain, get a job. At the first place itself, few of you are qualified to even teach your kindergarten children. It is just the commission by mis-selling which attracted so many illiterate ppl. like you all.

Its time SEBI realised its not the ONLY repository of wisdom and should take steps after due consultation with representatives of all interested segments. Unless we want to have regulations stymie the industry. Do away with direct plans ASAP. Thats the only way to go forward.

I want to buy a car Directly from Maruti Company, also want to purchase medicine from the manufacturer, want a parle biscuit or a FMCG Product from the company........ Is this possible......... if no ABOLISH Direct plan

In case of direct , Representatives from all different AMCS will contact HNIs and companies to bring them through direct scheme. This will be more confusing for investors because every AMCs will try to prove their product superiror and sell to investor. In this case investor has to filter the scheme and choose best option, which is perhaps not his job but of advisor. So in this case either client has to opt scheme as per his understanding or has to take help of Advisors by paying fees and that perhaps more than the return (difference) between direct plan and regular plan. If I had to select from introduce of entry load or removal of direct plan, definitely go for later one.

i am agree with your suggestion

Direct Plan should be abolish, it is harmful to IFA & promoting person, some of the investor takes advise from IFA & IFA gives his time and consultation in the hope of Business, but some investor ( after all discussion) give feed back that they have no money yet to invest , although they go for direct plan. So industry should terminate the direct plan. thanking you

Direct Plan itself is a disaster for MF industry. This has to be discontinued with immediate effect.

I AGREE WITH U

Direct plans are doing no good to any one. Advisor is in a better position to compare and advise the client among various schemes, plans and options. Regulator should take action against unfair practice of AMC and penalize non performers. Non performing AMC must be discourage from coming out with new schemes. Entry load should be re-introduced and benchmarked against past fund performance and overall track record of service, corporate governance, rural and retail penetration etc. Common folio no (may be pan no) across MF industry should be introduced so that frequent churning is traceable and can be controlled/penalized, high exit load based on benchmark linked performance can be considered and also exit load on distributor should be charged.

Agreed.

I totally agree with the statement that Direct Plans must be abolished. Some AMCs are playing notorious roles by approaching our Investors DIRECTLY. They are earning more in selling DIRECTLY. I am unable to understand when Franklin Templeton can start Only Trail Model why not other AMCs could follow a good initiative for the industry? Some of our Investors are making us fool due to these DIRECT Plans. They are taking our advice, investing a small amount with us & invest a bigger amount in the same scheme in the same way as per our Advice DIRECTLY.

Direct Plan itself is a disaster for MF industry. This has to be discontinued with immediate effect.

I am Balu, IFA Tirupur would like to say that I have lost a very big business in FMP due to this direct plan. Now, the customer ask me about MF product and willing to invest in Direct plan. In my opinion in the long run it is also difficult to the client to maintain the record and there is a chance of wrong decision at the time of redemption or switchover. or He/She has to pay higher consultancy charges for the advice. Hence, I oppose the direct plan. D Balu

i agree 100% direct plan shuid be stoped

i agree 100% direct plan shuid be stoped

1. When an investor can invest in bank deposits or bonds directly or without fees why not the same for mutual funds ? 2. To protect advisor community it is not wise to demand ban on direct plans. Instead advisor community should demand : a) Office management expenses from fund houses based on AUM or number of clients b) Fund house to provide well known Client Relationship Management software free of cost to advisors c) Fund houses to provide risk profiling software like Finametrica free of cost to advisors 3. So if fund houses cannot give us commission, let them save us expenditure by giving the above facilities 4. Right from SEBI to fund houses to Govt of India realize the failure of direct plans . Yet their ego and consumer activists are preventing re introduction of entry load and commission to advisors 5. House hold savings in India have fallen from 33 % to about 22 % in the last 20 years. In this too, financial savings have come down drastically. Gold and real estate have taken a major share of the savings . Indian economy is starved of capital and Govt of India is disturbed over this trend. It is a matter of time before the governments acts to mobilise house hold savings and channelize them into financial assets.

it is unfair competition between amcs & its distributors

i agree 100%

I am in total agree with all of you. Direct Plan has to be stopped. Direct Plan is just another brain child of the few Big AMCs & peoples who want to throw the IFAs out of this industry.

i agree 100%

Dear Mr. Pradeep Paul, In developed markets there are two types of funds - load funds and no funds whereas we have No load funds and Direct Pans.

I agree. I wonder do we have an equivalent of direct plan in the develpoed economies and what are they doing about it. Can some one educate?

I agree. There was no need to luanch the plan.

25th September, 2013 I am in total agreement with all of you. Direct Plan has to be stopped. We all are working for different AMCs and this Direct Plan is just another brain child of the people who want to throw the IFAs out of this industry.

Yes I agree with you,direct plan should stopped

Yes I agree with you,direct plan should stopped, atleast for retial investors otherwise we will have no business in future

Yes I firmly agree with same and should be stopped. I think Mf industry is most pathetic industry where regulators do all there experiments why not in any other financial instruments.

I too belong from a small town in Gujarat I remember the days when i passed my AMFI in the year 2005 I had travelled from my town to Mumbai when bandra kurla area was developing ony NSE building and now u need to count. From 2005 to Aug 2009 and from Aug 2009 till date after 2009 everything got changed in the life of a Mutual Fund Distributor from 2.25% Upfront and now Rs.100/- . If we don''t see SEBI or AMFi doing or taking steps this industry will new see anyone selling MF products. Many changes took place in this industry after 2009. But Govt. Never decided to change the insurance sector today also agents are paid high. There no investor protection or education in this sector only mutual fund industry agents had to suffer. I too am not interested in the MF Direct plan. I would like if upfront is introduced again.

Dear All As i know any regulater formed by govt to develped the related secter and also work for public intrest.but i never understand how sebi is worked for secter development.they not want intermidiater then than they should sell all mf directly by amc.why they include arn holder to sell mf.i never see any invester who first time invest directly or he aware about mutual fund.Its we Distributer who tell them about this saving tool.after investment they starting understand this product and amc offer them online plateform for transaction as direct invester why there should we any timebond for invester for the direct investment in same amc.And if irda permit almost 5-10% commission to agents then why sebi not permiting amc to give us better incentive structure

I also strongly oppose the direct plans. SEBI should not only look on the one side of the coin, but also on the other side of it also i.e. distributor fratenity, whose are striving hard to create awarness among the indian citizen and bringing business for the industry. SEBI must go to the ground level and think over it again and stop the direct plans immediately.

I AM 100% BELIEVE THAT DIRECT PLAN SHOULD BE REMOVE BY ALL M.F.AMC. I AM ALSO INFAVOUR OF @1% ENTRY LOAD

Dear IFA Friends, SEBI introduced direct plans with a dream that investors will rush towards Mutual Fund investments like flies flying around ripened fruits. By keeping it in mind SEBI started supporting everything which educate the investors about MFs. But it seems SEBI never realized that without advisors&distributors these fruits will never ripe. Thousands of distributors toiled up for years to make this industry upto this level. But, it just need a bad decision like the introduction of direct plans, to pulverize this industry within no time. Distributors run & find customers and educate them, AMCs simply contact these customers directly and educate them about the advantages of going direct & then a lot of these customers change to direct. But these customers will never find adequate support from the AMCs later because the staff''s sales targets will not be met by servicing these investors continuously. Ultimately the investor will curse the industry and leave the venue. As we all see huge numbers of folios are closing and no fresh folios are created. This is a very serious situation. The datas about direct plans are also very bad. There are no new fresh investors and investments coming into the markets. Some of the existing investors are shifting to direct & also some of the distributors are investing direct because they don''t get brokerage for their own investments. As somebody mentioned, SEBI & AMFI are living in some other planets. They must learn the ground realities of this push product. I wonder why AMCs Boards also going positive on these direct plans introduction. If these AMCs are having long term strategic planning in their Director Boards then these top class managements should lobby against direct plans. Consult any management specialists. They will tell you that no products in this world will survive without a satisfied & properly incentivized distribution system. Therefore , we hope all AMCs and the authorities will take immediate steps to scrap the direct plans as soon as possible to save this industry.

It is unfortunate that the direct client system has been introduced in the MF industry. First of all I am fully agree with the view that only 2% of the population of india invest in MF. Out of which most of the investor does not know the implication of Market on their investment and as such in saving of 1% (Commission) they loss heavily. Today I came across a case where the investor had put his hard money in the scheme on the advice of Banker who was advising due to pressure for sale by the bank. Money remain 50% after investing it for 4-5 years and the person has taken oath that he will never go for MF. SHASHI KUMAR BHOOTRA

I am agree with current discussion.

Direct plan must be stopped.

pl . urgently stop direct plans to save this industry

Dear sir Thanks to think a great issue about confliction of distributors it is a like a speed breakar in smooth road of fund distribution. costumor asking about direct plan and we have to reply about it. sir quistion is that,why sebi aprooved direct plans, it meens sebi have not faith on us that we are able to good advise or better managment of money, or sebi want to reduce our part of selling mfs, where one side raise our brokage but other side issue direct plan, why play both side, so dear sir my sugetion is that if sebi think about HNI so there is need to make a slab system and brokage depend on amount if amount is higher than brokage is lower.I think it is a good idea. thanks to think about industries

SEBI''s all the act are to protect the interest of investor. By way of direct plan SEBI intended to by pass the intermediatory for informed investors. But SEBI has overlooked that most of the investors will opt for direct plan because of low expense ratio by by passing the intermediatory which they think that will benifit them in overall returns. At one end this thinking may be correct. But on other side it is not that all the investors are informed investor and if they are not informed investors they may opt a plan which may have more risk or which is not sutaible to them only for the attraction of low expenses by bypassing intermidiory. If SEBI realy wants to protect the investors interest than they should remove such direct plans and continue with only one type of plans whether that through intermediatory or direct. Which will not attract the investor because of low expenses . In that case if they are not informed investors they will surch for a appropriate intermediatory to help him select sutaible schemes form this complex market.

MUTUAL FUND DIRECT PLAN WAS NOT GOOD FOR THIS INDSTARY. SO I REQUEST TO AUTHORITY , DIRECT PLAN WILL STOP. I SUPPORT YOUR CAMPAIGN. THANKS.

their is lot of trial & error in this industry, whenever industry started coping with the new regulation then after new regulation comes. so i am requesting all the participant of the industry to request the regulator to bring back the no entry load regime ie previous regulation, that is the only way out. please stop T15, B15, expense ration liberty. Nothing will happen without Investor education.

Direct Plan need NOT be stopped. Only request is Entry Load should be reintroduced. After all Freedom is above all. Freedom to Investor should be safe guarded but not at the cost of Distributors. Business can be well regulated but business cannot be killed. Or let us apply this DIRECT methodology through out the FINANCIAL sector.

In order to please the FII and institutional investors, SEBI has brought this direct plan. When the mutual fund industry has not even started growing, why so much regulation to kill the business. Each AMC is dependent on their respective channel to mobilise business and the distributors only know the pulse of the customers. This plan is already impacting a huge difference. Ban of entry load is totally agreed, but this is like asking the distributors to look for alternatives. Even though the investment advisory regulations are being followed, it will not have great impact while servicing retail clients as these clients need to know about the product fully and require repeated education initiatives which only the distribution community could do. Hope, the regulator also brings in some good initiatives to make the industry grow. Moreover, the implementation of direct plan should be left to the AMC discretion which will be a welcome move as we will know how many amc could implement it given an option.

Direct plan is not at all good for advisors and for the industry also.

Direct plan must be scrapped.It is not good for the Industry.I support your campaign.

First,the reduction in upfront commission then the introduction of direct investment with differential NAV,clearly has put the last nail in the coffin for advisors who had so far diligently studied and advised at much expense to deliver quality advise to investors.In fact,NISM should be renewing ARN''s free also-why doesn''t the govt. look into this aspect also.Common man is suffering and the steps taken to curb malpractices have hurt the innocent and the guily are still scot free and continue to indulge in pass through due to size and economies of scale?Should any professional advise be free and if so,how does one possibly sustain.

yes,yes go ahead with this noble cause.

I heartily say to sebi plz stop direct marketing, otherwise mf marketing downfall quickly because all invester have no time and no idea. noknowledge.

Nothing is free under the roof of the sky. So why should we give free service to anybody. Pl, stop direct plans. Like India 70% population are from rural areas how can we reach the customer....how to motivate them.

It is very disturbing to each and every person, who wants to really continue as a distributor of Mutual fund and create wealth for Investors. It is Impossible to educate investor to create wealth by investing in open ended mutual fund. To create wealth, it is required to interact regularly. When investor come to know that Direct plan going to give extra benifit , investor will leave distributor and regularly distributor will try to find new customer and trust to distributor will not established. Direct plan going to spoil Industry. Gradually by 10 years equity fund will loose AUM to 30%, if Direct plan continue. The people of SEBI and AMFI living in different planet.

I storngly support. There should be no direct plan.

Direct plan must be stopped, it is not good for health of MF industry and stock market. if amc and sebi do it is very bad for us.

Why only stop direct plan, why we can''t raise our voice for commission.

u r absolutely correct,i must apreciate ur proposal. go ahead.

I agree with you. who are demanding for direct plan? Evev Investors are saying that mediator is necessary for service and other issues ,It is only our regulators interest.

YES. I am in full agreement with this. The earningsfor the advisors from MF have been so much reduced by the authoritiess now that it seems difficult to survive. The amount of service and inputs that we give to our clients to help them manage the portfolio is really very painful. and over this the very little earnings to us gives a feeling at times to stop sevicing these clients which we cannot. MF should have an inbuilt provisions of atleast 2% so as to get the advisory fees once the aplication form is filled .

i share your view on the situation today. i do not understand why the regulators are not understanding the plight of the individual advisors. the very purpose of the policy is defeated. by making the direct investment and avoiding the entry load, MF schemes will not become an OTC just like a fixed deposit.

Direct plan must be stopped.

I also lend my support to stop direct plans as they are not only harmful to IFA''s they are equally harmful to investors also as investor lacks experts opinion in direct pkan and we all know that a fund chosen on by investor and bydistributor can easily 5-6% difference in returns, so where is the actual loss incurred by investor.

Direct plan should not be there.

Direct plan must be stopped, it is not good for health of MF industry.

Direct plan must be stopped, it is not good for health of MF industry.

SITUATION WILL BE HELL IN COMING TIME .......REGULATERS AND NIETHER AMCs ARE AWARE AND CONVERN ABOUT THE COMING SITUATION. CAPING IS THE GOOD IDEA TO DEAL WITH OTHERWISE ALL PARTY WILL BE LOSERS.

Hi Rajiv I 100% agree with you regarding Direct Plan it should stop on immediate basis let says by month end . Second there is no thought process in whole industry how the future of industry should be AMC , IFA , & Regulator . AMC there is some impact has happened , but if you look all the people from top to bottom still they are getting good salary & increment . Banks MNC or Private are not affected buz. they are still charging 2.25% offline & 1.5% for online plus from AMC . So for them whether Entry load is there or not they are not affected on there revenue. IFA there may be very few who will have charging model . Regulator is least interested in the growth of industry & if they are that to helps only AMC by giving them power to charge .30 more if you are geting business beyond T15 . which affects all the customer buz. high exp. ratio , Instead bring a least 1 % Entry load to save the industry . Industry is so small looking at the size of country , but you have the people who wants to end the whole industry . I wish them good luck .

direct investment must be stopped otherwise distributor community will be the biggest sufferer.

YES. I am in full agreement with this. The earningsfor the advisors from MF have been so much reduced by the authoritiess now that it seems difficult to survive. The amount of service and inputs that we give to our clients to help them manage the portfolio is really very painful. and over this the very little earnings to us gives a feeling at times to stop sevicing these clients which we cannot. MF should have an inbuilt provisions of atleast 2% so as to get the advisory fees once the aplication form is filled .

must be stopped.

Direct plan must be stopped, it is not good for health of MF industry.

please stop direct plan.

Direct Plan may be retained but there should be a ceiling on investments of 10 lakhs and above, who should be eligible for the same.

I support the request to stop the direct plans for the retail clients..unless they want to discourage the advisor community & business sourced & serviced by us. It makes a point in developed markets like US & UK but not in india.

this is the issue, just to creat conflict between IFA and investors and it is insult of entire advisors community. This should be stopped right now.

AFTER DEBACLE OF PPF-- ON REMOVAL OF AGENTS COMMISSION, MANY SOCALLED CLIENTS APPROACH FOR SERVICES. I ASK ONE SIMPLE QUESTION-- WHERE IS YOUR LIC, MF AND GIC BUSINESS? THEY TELL ME THAT IT IS WITH THEIR RELATIVE OR FRIEND. THEN I SUGGEST HIM PLEASE CARRY THIS-PPF BUSINESS ALSO TO THERE ONLY & DO MERCY ON ME BY LEAVING ME ALONE. I DONOT WANT YOU & YOUR BUSINESS. SIMILARLY IF WE R TECH SAVYY THEN THEY NEED US MORE THAN WE NEED THEM.

Direct plans should be banned. It is unfavorable for MF industry.

I agree with you , go ahead.

In my view there is no need for direct plan.As compared to other saving products, MF attract very low cost for investor. Secondly if the AMC and SEBI really wants to protect the investor, They can take steps like- 1. Educate the Investor as well as advisor(if they need). 2.If any scheme is not performing well then they should waive AMC charges. etc.

YES'' its should be stop directs plan ALL AMC.

i agree that it should be restricted to investment amounts of 5 lakhs and above only

WE R CREATORS OF MUTUAL FUND IND. WHEN NO BODY Understand We all distributor educate layman to invest their money in. m.f ,now all infrastructure Ready By All Our Service & Hard work They Just Don`t want middle man This is Unjust To All Distributor, Why Broker in Stock Market? Just Now Govt. Will Say all stock will be sell & buy by him no need of stock market same way life & non - life insurance no commission if they directly to with insurance co., same way all industries govt. will do ?

I am in favor of removal of Direct Plan.We the MF distributors must protest the unfare practices of AMC''''s like encouraging direct plan. I agree with all of you.

By abolishing the Entry Load on MFs, SEBI virtually killed the MF industry. By introducing the so called "Direct Class", the second death blow has been dealt on the severely crippled MF industry. The "DIY" class of investors are actually losing heavily because they refuse to take proper advise and think they are smart and are saving some cost. In reality, they are paying a very big price in the long run by not investing properly. Everyone knows that to make a profit in the Share Markets, you must buy low and sell high. But the DIY Class foolishly waits for the markets to go up and then start investing "because the markets are going up". When the market start going down, they hit the panic buttons and sell because "the markets are going down". So they do exactly the reverse - buy high and sell low. To compound their error, they will not allow others to invest "because I lost money". SEBI must abolish all forms of "Direct" investments, if it wants to play a pivotal role. Regards, Anand Mohan Agarwal CEO, Samvardhan, C 302 (4th Floor) Sri Sai Rajendra Prestige, 10-2-276, Street No 5, West Maredpalli, Secunderabad 500 026 India Mobile: +91 924 650 9367 Landline: +91 40 6456 2364 Skype: Samvardhan Twitter: https://twitter.com/FitnessFundas LinkedIn: http://in.linkedin.com/in/fitnessfundas Facebook: http://www.facebook.com/anand.mohan.agarwal

Yes direct plans should be stopped with immediate effect.Mutual fund advisors are already facing much of redemptions,low income due to poor knowledge of Indians and low participations.Also mutual fund industry is already facing crisis since last 5 years and direct plans was the last steps to discourage advisors and kick them out of the industry so this should be surely stopped.

I am in favor of removal of Direct Plan

Direct Investment option should continue and this option should available to the investors.

We the MF distributors must protest the unfare practices of AMC''s like encouraging direct plan. I agree with all of you.

direct plans should be banned. It is unfair that we put lot of efforts in convincing a person invest in MF & then he goes for direct plan after some time due to low cost

Res sir, yr movement is ofcourse very very necessory.direct invesment plans encouragement by amc or any otherside shoud be stopped.it siezes the business from distributors which is at present at lowest level.and after direct investment the client is coming to us when they feel any difficulty and we have to work for them due to relation or other business with us .so we are loosing income and have to give service withour any income.so whatever we have to do to stop direct investment shoiud do without any hesitation.i heartly support you and assure to give full support.

1) Mistakes were committed and then they got compounded. Everybody in the Industry KNOWS that, Re-introduction of ENTRY load, WITHOUT SCRAPPING DIRECT PLAN - Will further create MESS. 2) So Instead of Re-introduction of ENTRY load, Scrap All Direct Plans and Dual NAVs. It will save Lot Many Web Space also. 3) IF any AMC wants to Attract Direct Investor with lesser Expense Ratio, they should Launch a Separate Scheme only for Direct Investors. Within Funds, there should be no Dual NAV whatsoever. 4) All Equity/Balance Fund Products should be paying atleast 1 % TRAIL. 5) Franklin Templeton who is Pioneer in the Industry for bringing Good, Ethical, Educational, Disciplined & Rewarding Concepts, has started ALL TRAIL Model. The Whole Industry should follow this model. 6) Trail Commission on IFA''''s Self Business should be PAID. There was NO REASON WHY IT SHOULD NOT BE PAID. 7) Start "MF Utility" Platform at the earliest. Following these SEVEN POINT WILL BENEFIT THE IFAS/INVESTORS/AMCS IMMENSELY. SEBI / AMFI/ AMCS - ARE U LISTENING ? ? ?

I am agree with all of you.

(1) WHEN INVESTOR INVESTS IN GOVT''''S POST OFFICE SCHEME WITHOUT AN AGENT, DOES HE GET HIGHER RATE OF INTEREST ? ............- "NO". (2) WHEN INVESTOR GOES AND FILLS COMPANY FIXED DEPOSIT FORM HIMSELF, DOES HE GET HIGHER RATE OF INTEREST ?.........- "NO". (3) DONT KILL INDUSTRY, START EMPLOYMENT GENERATION FOR ENCOURAGING INTERMEDIARIES.......STOP DUAL NAVS

(1) WHEN INVESTOR INVESTS IN GOVT''''S POST OFFICE SCHEME WITHOUT AN AGENT, DOES HE GET HIGHER RATE OF INTEREST ? ............- "NO". (2) WHEN INVESTOR GOES AND FILLS COMPANY FIXED DEPOSIT FORM HIMSELF, DOES HE GET HIGHER RATE OF INTEREST ?.........- "NO". (3) DONT KILL INDUSTRY, START EMPLOYMENT GENERATION FOR ENCOURAGING INTERMEDIARIES.......STOP DUAL NAVS

(1) WHEN INVESTOR INVESTS IN GOVT''''S POST OFFICE SCHEME WITHOUT AN AGENT, DOES HE GET HIGHER RATE OF INTEREST ? ............- "NO". (2) WHEN INVESTOR GOES AND FILLS COMPANY FIXED DEPOSIT FORM HIMSELF, DOES HE GET HIGHER RATE OF INTEREST ?.........- "NO". (3) DONT KILL INDUSTRY, START EMPLOYMENT GENERATION FOR ENCOURAGING INTERMEDIARIES.......STOP DUAL NAVS

(1) WHEN INVESTOR INVESTS IN GOVT''S POST OFFICE SCHEME WITHOUT AN AGENT, DOES HE GET HIGHER RATE OF INTEREST ? ............- "NO". (2) WHEN INVESTOR GOES AND FILLS COMPANY FIXED DEPOSIT FORM HIMSELF, DOES HE GET HIGHER RATE OF INTEREST ?.........- "NO". (3) DONT KILL INDUSTRY, START EMPLOYMENT GENERATION FOR ENCOURAGING INTERMEDIARIES.......STOP DUAL NAVS

regulators are still confused, i think they themselves are not clear which plan will click(1) the distributor route or the direct plan. is the system preferring the chemist shop over the doctors ??

agree with you. I strongly support.

Definitely it should be stopped. We strongly against it.... nice start

agree with you.

Direct plan is really a lethal blow for any financial adviser.Even investors having 2 to 5 lac corpus are also investing DIRECT.... Even some of the AMC''S RM are also canvasing Direct plan to IFAs to get more Returns. ( They say Return would be much higher compared to your brokerage in long Term..). Some AMC has started calling investors to suggest them to invest DIRECT.. Direct plan shd'' be for Institutes and Min. Inv. Amt. shd'' be 25 crores... Well, go ahead to stop DIRECT plan, I am with you...

It should be stopped forthwith. Some AMC''s are reportedly contacting the existing investors to opt of direct plan but they have miserably failed to attract retail investors as they are satisfied with the services rendered by the distributors.

actually, is there really a need of direct plan for customer?

Pls stop direct plan & introduce the entry load which will improve the savings and stock markets too which in turn fuels economic growth.

GOOD JOB

Hi All , Please go through my comments at this forum also, in the given link bellow: http://wealthforumezine.net/ForumComments.aspx?id=626. In addition , why is an advisor being marginalised in the value chain? The AMC , the auditors , the brokers , the RTA''s and the Dipositories and even the regulators and governing bodies like AMFI are getting their share of the fund management fee. They shall get it , as they are entitled to that, sure . Why all these agencies are not being asked to collect their respective fees from the clients as a seperate cheque? The incentive being paid to the IFA shall be given similar treatment - its just a part of the overal fund managemnt fees.Why the sales team / IFA is being pushed to the wall.This is as rediculous as it is ironical. AMCs are cutting the roots on which they are growing by encouraging this conflict of interest. This needs to be resolved by SEBI , AMC''s immediately.

Direct Plan is not an Act of God. It is the act of some vested interests. My advice to all friends is a versus from Gita "DO YOUR DUTY UNMINDFUL OF THE RESULTS". Things will automatically change in the days ahead. The direct plan AUM appearing in the system is contributed by IFA''s. It has been switched from one plan to another. That was easy too. To get new business under direct plan, we all have to wait till 2017(5 year average industry growth). Hope for the best.

It is surprising to see to MRP of the same product. Never seen or heard about!!!. This is nothing but just creating competition between the manufacturer (AMC) and Seller (Distributor) and killing the product and the industry. It looks like the caretaker are themself interested in killing the entire industry and asking all the investors to come on road or divert himself to banks. And then we cry there is no growth in the industry and so much money is been deposited in bank FDS. AMCs and other people have no right to cry or yell out such things if they can''t do justice to the industry and there distributors...

MOST OF MY CUSTOMER TAKES MY ADVISE TO INVEST IN MF ON MOB/EMAIL.BUT THEY INVEST ON LINE IN DIRECT PLAN.SINCE THEY WERE MY CUSTOMER EARLIER HENCE I CAN''T REFUSE TO GIVE ADVISE. MOST OF THEM ARE MY FRIENDS/RELATIVES.I CAN''T CHARGE THE CONSULTANCY FEE. IF THE REGULATOR AVOID THE DISTRIBUTOR ,THE NEW INVESTORS WILL NOT TAKE INITIATE TO INVEST IN M F. WE REQUEST TO REGULATOR TO STOP THE DIRECT PLAN SO THAT INVESTOR WILL INVEST EITHER THRU DISTRIBUTOR CODE or WITHOUT DISTRIBUTOR CODE.

The very concept of direct investment is wrong. It is indirectly encouraging mis-selling of Mutual Funds. I have seen that some people go in for direct investments and then get confused as regards switch, partial withdrawal, KYC and change of Bank etc. they don''t get time to go to registrar or fund house and in the process get rid of Mutual funds. The market is also not favorable since last 3-4 years. Too much of confusion like ''advisory only; Execution only etc has made MF unpopular among masses. This is the main reason the retail investors get out of Mutual funds and never return back to advisers. The story is well known but no body takes action. The Direct investment should be stopped immediately. The two different NAVs and short form of scheme names in news papers add to the confusion. I personally feel that the direct investment category should be stopped forthwith.

I do support. For a manufacturer(here AMC) the quality & performance of a product remains same irrespective of whether it is sold directly by the company or its dealers(here Distributors). Their must not be two NAV criteria.

i strongly support the same we have to represent the issue in a very much stuidied mannare along with the figures, which can prove that abolition of direct plan is not only better but best option for the investor, IFA''s AMC''s and industry at large....

I strongly support to abolish Direct plan.

I strongly support to discontinue diret plans.We the ifa made efforts to penetrate mutual fund schemes in market.On our efforts AUM has been increased.Now AMC''s started direct plan having low expences...but are they distributing all expences in proper way?.As Aum of normal plan is more & direct plans Aum is less our normal plans expences per units should automaticaly much less & it should be more in direct plan.I don''t know how they calculate that.If they are promoting Direct plan Nav at lower leveal by wrong way we should try to stop it.

I strongly support to abolish Direct plan.

i am very much against direct plan,i support wealth forum''s initiative ,i am feeling protective because of wealth forum''s initiatives against the regulators. atleast we have to raise our voice against such steps .instead of keeping dumb . thnx

I SUPPORT

I Dont think there is a need to panic with Direct Plans. We need to educate the investors that Direct plans work out to be costlier for them. I have personally seen queue of investors waiting at the AMC branch to get served. And when its their turn, the person talking to them is hardly able enough to explain him everything with as much patience as a distributor would do. Also, I have seen, at the end of discussion, it is found that the investor has come with some documents short. So he needs to come back again. Now this is the story of one AMC. Imagine if the investor is willing to diversify across 3-4 AMCs !! Is it cheaper for him to travel to all different AMC offices, take off from office and still not sure that his work will be done in one visit ?? Not at all !! I think, if this is communicated to them, it could be helpful. We first need to realise the value of our effort and only then we can convince the investors.

Direct plans are threat with the distributor community in india because some of leading AMCs are advising investors who are bought by a distributor who is contributing to industry for his lievlyhood. First entry load vaived good for industry but at the cost of distributor,KYC compiance by distributor free of cost. We had grown up the child for our interest but top officials donot want. If a fund is not performing at the cost of investors hard earned money and will be heared by a loyal distributor. So it is advised to stop direct plan immediately. AMCs fund managers are requested cut their huge salary.incentives and perform.

SEBI & AMFI should work together to save the interest of IFAs. IFAs fraternity should be incentivised and if this is the way the regulating bodies will continue to betray the fraternity I am quite sure there would be hardly anybody who will continue to work as an IFA.

direct plan is another big hit for a ifa because of the less expence ratio nav is obviously more,and the performance will be better than normal plan,in that case investors will think about that plan, online investing,direct plan,entry load abolition,all these steps are to abolish the ifa community ,we all cry against such steps ,but till date since entry load abolition ,no body is bothered about the ifa''s my request to the regulators is .please re introduce the entry load and stop the direct plan nav . i hope some one will hear our cry and do some thing favour to IFA thanks for giving opportunity to tell my suggestion

Direct plans are threat with the distributor community in india because some of leading AMCs are advising investors who are bought by a distributor who is contributing to industry for his lievlyhood. First entry load vaived good for industry but at the cost of distributor,KYC compiance by distributor free of cost. We had grown up the child for our interest but top officials donot want. If a fund is not performing at the cost of investors hard earned money and will be heared by a loyal distributor. So it is advised to stop direct plan immediately. AMCs fund managers are requested cut their huge salary.incentives and perform.

Once investor has start drt...business 2 amc then Distributor has loss his business so we all has start to stop drt...business.

I Support

Authority now how fragile strength of Ifa community? In past, they have done not too much but collecting brockerage barring few genuine ifas.first,we must envisage our strong profile in customers mindset like charted accounts does have.

I strongly support to abolish Direct plan.

Dear All, since the suggested way of direct plan was to encourage INVESTOR and to protect their interest with higher returns as compared to alternate source like distributor, where there is some cost to it. direct investors even needs to be informed on continuous basis to lessen down the habit of panic redemption. So The distributor plays a vital role for not even information dissemination but also to keep investor invested for better return and longer horizon. The suggestion is only that direct plans also needs to be routed through distributors but with lesser margin, This would be like only execution of transaction not advising. But when investor require suggestion then we can route them through our network.

In my view, Direct Plan and Nil Entry Load is not in favor at all for Retail Investors. None of the distributor find it worth to go to meet a client who wants to invest 1 Lac or want to start a SIP of 5000 or 10000. In today''s scenario, a distributor''s consideration is negligible in both of the above cases. If not on every amount then SEBI must atleast impose Entry Load on Transaction below 50 Lacs so that Retail Investor is taken care of and Distributor also get encouraged to service those Investors.

IT IS VERY INJUSTIVE ON THE PART OF THE AGENTS COMMUNITY THE GOVERNMENT IS NOT A POSITION TO PROVDE EMPLOYENT TO THE YOUTH BUT THOSE WHO ARE IN THE AGENTS FIELD THEY WANT TOMAKE THEM AS UNEMPLOYEES SO THOUSANDS OF YOUTH AGENTS SHOULD BE IN THE FOOTHPATH WITH THEIR FAMILIES

direct plan is a slow poison in long term for IFA. as. education increases it will make great impact on IFA.

an experienced financial advisor will help investor to invest his money properly. otherwise nsel like scam will happen more and more. without proper advisor, investors will be cheated. we need doctors, engineers,businessmen, but we do not need financial advisors? are they cheating their clients or helping them? no body knows everything. everybody can be expert in his business. a doctor or a lawyer does not know financial matters. advisors are not paid heavily. they are earning very few amount. steps without long term thinking will ruin financial market. if govt. does not understand the requirement of advisor, time will prove the requirement.

Advisors are the main sales force for any business. They have to try to bring more advisors in the field, but due to these type of steps most of them are discouraging to take the mutual fund advisory as profession.

There is lot of value addition from a financial consultant and those who have opted direct plans will soon realize. If we [IFA] stick to a strategy such as, deriving goals and chase goals, then I am sure people approach us for service. If direct plans are stopped then AMC will make more money!!!. This has to be considered before requesting to stop direct plans.

DIRECT PLANS CREATE PARCIALITY.NO ANY PRODUCT CAN SUCSESS WITH PARCIALITY.MF SCHEME WHY NOT FOLLOWING NATIONAL SAVINGS METHOD WHERE PRODUCT OR RELAISATION IS SAME FOR INVESTOR,WHEN HE PURCHASE PRODUCT OF NATIONAL SAVINGS THROUGH AGENT OR DIRECT FROM POST OFFICE.IF THEY PURCHASE THROUGH AGENT THEN AGENT GOT COMMISSON.IF THEY NOT SATISFIED WITH AGENT THEN THEY CAN PURCHASE DIRECT FROM POST OFFICE.ITS VERY SIMPLE.MF INDUSTRY SPENDING TOO MUCH TIME ON UNDERSTANDING THIS SIMPLE THING.

Actually this type of move to generate two types of NAV is creating not only lots of confusion but discouraging retail investors. What type of saving is there? AMC has to take lot of efforts, to engage more employees and more over from the date of direct plan business ratio has come down, so what is the use of such type of unfair move. It should strongly supported to withdraw such type of moves and to boost industry some other practical moves should be brought under practice like Portability. Portability not only beneficial for Investor but also it keep fund manager more active and the performance of the fund will automatically be generate good return. No doubt there are some hurdles but it doesn''t mean that there is no solution. Sebi should think over boosting industry instead of creating lots of confusion and creating so many hurdle for investor who wants to invest but these type of move restrict them. So we should come together and compel SEBI to withdraw direct plan with immediate effect.

Very Confucius for the investors, Practically no use for conman investors

DIRECT PLANS ARE A TOTAL FAILURE EVEN IF THE NAV IS SLIGHTLY HIGH RETAILS INVESTORS DEEM TO TAKE HELP OF THE DISTRIBUTOR AS THE CLIENTS DOESN''T HAVE REQUIRED KNOWLEDGE.HENCE DP CAN NOT EVER ATTRACT RETAIL CUSTOMERS

i support stopping direct plan.

As mf industry is going thru tough times, we can use this situation as opportunity to demand of closer of direct plans by stopping new login till our demand is accepted, (we hardly get big tickets now a days) .we need to be united now or change industry. My cell number is 9227600700

I strongly support towards the immediate implementation of the proposal put forth regarding abolition of DIRECT Plan. AMFI should strongly take up this issue with market regulator. Mutual Fund Investment being a saving vehicle in India is losing its charm.\ Mutual Fund is a push product, not a pull product -Everyone needs to understand this basis concept.

I strongly support removal of the same at least for the Long Term investment products e.g. Equity Funds / Long Duration Debt funds.. As, this requires more behaviour / emotional support and needs under supervision of Investment Consultant / Advisor.

Its no use and very Confucius for the investors. Also i feel calculation of direct plan NAV is partial. Authorities themselves have taken a no use step. Instead of taking steps towards domestic saving booster, the step is for harassing the small investments.

My friends it is no point in crying-You will have to understand when someone gives you a Sleeping Pill,he or she is actually preparing you to Sleep and Leave this World.The constant reforms from MIN to EUIN and from KYC to KYD and Indirect to Direct are actually varieties of pills and the BOSSES will only realise when the Industry will be dead.Opening the liberalisation gates of AMFI License for new entrants is a welcome step...but is it easy and ethical to sell MFs based on Color Tags?The MF bodies and forums created over the years have actually played no constructive role in reviving the sentiment and fund performance.The AMCs should have cut down their expenses,air trips,hotel bills,Fund Manager''s Salary,etc and not forced upon Direct/Indirect.No investor has made money in the last 5 years including ourselves. It is rightly said:"Tum hi tum ho,toh kya tum ho,Humi hum hai toh kya Hum Hai".

Direct plans do not facilitate tracking of investments. In any case remuneration has reduced drastically. Direct plans will slowly erase away all financial consultants.

Direct plan is total failure. Though the NAV & returns are better than the regular plan, they could not push market the products. Mutual fund industry is very pitiable condition.

i strongly support to discontinue direct plans.so that we can take mfs in rural areas to stop illegal chainschemes like enmort, and educate the rural population in long term growth of indian economy as wellas customer to achieve their retirement,children higher education,marriage by investing in sip model.if they depend on direct plan rathrer than distributor it is meaning less to introdues new type of distributors.

WITH OUT ANY DISTRIBUTOR THERE IS NO SALES BEGIN OR END.EVERYWHERE IF SMALL INVESTOR OR CORPORATE THERE IS MAN BEHIND THE SCENE. IE THE DISTRIBUTOR. WITHOUT THE HELP OF ANYDISTRIBUTOR THERE IS NO SALES. THANKS. NAGALINGAM.

i strongly support to discontinue direct plans.so that we can take mfs in rural areas to stop illegal chainschemes like enmort, and educate the rural population in long term growth of indian economy as wellas customer to achieve their retirement,children higher education,marriage by investing in sip model.if they depend on direct plan rathrer than distributor it is meaning less to introdues new type of distributors.

the cycle of direct plan is not worthful as tyres don''t have required air. To win the race we need to swich to modern technique and updated with happenings affecting economies. The same we can''t expect from a common man where the stress level is already very high. The cycle of direct plan put the rider in mud and with no direction. So AMFI and SEBI must look into the interest of investors and try to way out for investors where they must seek the advice of advisors before investing. It''ll create a win win situation to every one.

sebi introduced direct plan for corporates and hni clients and not for retail clients.

sebi introduced direct plan for corporates and hni clients and not for retail clients.

YES SIR QUALITY DISTRIBUTORS CAN DEFIANTLY MAKE GOOD BUSINESS WITH SATISFIED INVESTORS. THE AWAIRNESS BETWEEN DISTRIBUTORS, INVESTORS AND AMCS FOR THE BRIGHT FUTURE OF OUR INDUSTRY CAN BE BENIFICIAL FOR ALL. BY STOPPING DIRECT PLAN AND BY ASSOCIATION OF OUR DISTRIBUTOR COMMUNITY WE SHOULD SOLVE THIS ISSUE BY APPROACHING SEBI AMFI AND NISM.

stop the direct plan and commission charage Fund & how invested with out ARN this commission use for IFA increasing Knowledge.

Definitely it should be stopped. We strongly against it.... nice start

very good attempt.

Look at the AUM , and an average AMC''s income is about 150 crores. (@1% of 6lakh crores aum) Some what these figures are older, Excluding the liquid funds. So this industry as we say is not small! Nor the investments . 1)SEBI shall allow the AMC''s to freely choose if they want to provide only direct plans or only channel products and not both.( I sincerely doubt that SEBI will never force such decision in first place , probably the AMC''s have some long term strategies in place to discard the IFA model , and replace it with some alternate mode. I believe that these direct plans are the brain child of AMC''s and not that of SEBI). 2)For the existing schemes , there should not be a differential in NAV irrespective of direct or channel mode of subscribing.

ur point is valid and we endorse. sam koshy earlier gave a good suggestion that direct plan if needed should come thru NFO route and not out of existing schemes. the running schemes are mobilized, nurtured and managed over period of time and distributors have contributed to the process. direct plans have inherent contradictions like AMCs vs Distributors which may further alienate the leftover distributors. AMCs can''t sell by themselves and mutual fund industry will further shrink. india as a nation is used to free advise, passback of commissions, and unless SEBI takes a pragmatic view and recognize the ground realities, appreciate the role of distributor in terms of education, penetration and building up the industry, we are doomed.

Hello sir I had already demanded meger of direct and regular. Actually we don''t have a powerful lobby nor we have united. You must have read my earlier comment. Very few people are interested in mf products. We evince interest in them, we educate them and if what they shift to direct plans just because exps. ration is low. Nobody has demanded separate plans, still sebi initiated it and implemented it. I myself invest in direct plan naturally just because it exists. If these so called companies can operate NPS at just 25 paise, they should also lower fund maint. in mf also but that doesn''t mean two options.