Chapter Summary

• Mutual funds in India operate under the regulatory framework established by SEBI through the SEBI (Mutual Funds) Regulations, 1996.
• The trust structure ensures separation of ownership and management, with trustees overseeing the AMC's activities.
• Key entities in the mutual fund structure include the sponsor, trustees, AMC, custodian, and RTA, each with specific roles and responsibilities.
• AMCs have legal responsibilities to manage assets according to investment objectives and comply with regulatory requirements.
• Unitholders have specific rights and obligations under the regulatory framework.
• Regulatory compliance requirements ensure investor protection and market integrity.
• Recent regulatory developments have focused on enhancing risk management and investor protection.