Role of Finguide Buddy - Mutual Fund Distributor & Transaction Safety
FAQs – Role of Finguide Buddy- Mutual Fund Distributor & Transaction Safety
1. What is the role of Finguide Buddy?
Finguide Buddy acts as a Mutual Fund Distributor.
Finguide Buddy does not manage investments, does not control investor funds, and does not assure returns.
2. Does Finguide Buddy receive or hold my money?
No. As per AMFI guidelines, a Mutual Fund Distributor must not receive or hold investor funds.
All payments are made directly by the investor through authorized platforms, and not to Finguide Buddy.
3. How are mutual fund transactions processed?
Mutual fund transactions are executed through recognized and regulated transaction platforms, including exchange-linked systems.
Once the investor makes the payment, the amount is routed directly to the respective Asset Management Company (AMC) for processing and unit allotment.
4. Who allots mutual fund units?
Mutual fund units are allotted by the AMC in the investor’s folio, as per scheme terms and applicable NAV.
The distributor has no role in unit allotment or fund management.
5. Are payments made to NSE or BSE safe?
Payments made through exchange-linked platforms follow regulated settlement and banking processes.
Investor money moves through authorized payment systems and AMC channels, ensuring transparency and auditability.
6. Can I track my investments independently?
Yes. Finguide provides paperless KYC, mobile app access, and a secure online platform, enabling you to conveniently track your portfolio in real-time. You can view your holdings, transactions, and portfolio details independently, with information sourced directly from official AMC and registrar records.
7. Does Finguide Buddy give investment advice?
Finguide Buddy provides product-related information and transaction facilitation as permitted for Mutual Fund Distributors.
Any investment decision is taken solely by the investor based on their understanding of scheme documents.
8. Are returns guaranteed?
No. As per AMFI regulations, no assurance or guarantee of returns is provided.
Mutual fund investments are subject to market risks and depend on market performance and scheme objectives.
9. Who sends transaction confirmations and statements?
Investors receive official confirmations and account statements from the AMC, registrar, or authorized platform.
These communications are independent of the distributor.
10. Why can investors trust this process?
Because:
Distributor does not handle investor money
Transactions are processed through regulated platforms
Money goes directly to the AMC
Units are allotted in the investor’s name
Statements come from official sources
This structure is designed to protect investor interests, as laid down in AMFI guidelines.
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