CIRCULAR
SEBI/HO/IMD/PoD1/P/CIR/2025/21 February 20, 2025
To,
All Mutual Funds
All Asset Management Companies (AMCs)
All Trustee Companies / Boards of Trustees of Mutual Funds
Association of Mutual Funds in India (AMFI)
Sir/ Madam,
Subject: Clarification regarding Investor Education and Awareness Initiatives.
1. Chapter 10 of the SEBI Master Circular dated June 27, 2024 on Mutual Funds (“Master
Circular”), which specifies the provisions for loads, fees, charges and expenses charged
by Mutual Fund schemes, inter alia requires AMCs to annually set apart atleast 2 basis
point on daily net assets within the maximum limit of total expense ratio, as per regulation
52 of SEBI (Mutual Fund) Regulations, 1996, for investor education and awareness
initiatives.
2. In this regard, it is clarified that initiatives under ‘Investor Education and Awareness’
include financial inclusion initiatives, as may be approved by SEBI from time to time.
3. This circular is issued in exercise of the powers conferred under Section 11 (1) of the
Securities and Exchange Board of India Act, 1992, read with the provision of Regulations
52 of SEBI (Mutual Funds) Regulations, 1996 to protect the interests of investors in
securities and to promote the development of, and to regulate the securities market.
4. This Circular is available at www.sebi.gov.in under the link “Legal ---Circulars”.
Yours faithfully,
Peter Mardi
Deputy General Manager
+91 - 22 - 26449233
peterm@sebi.gov.in