In India to sell one particular product, he/she has to Qualify and Pass an Exam.
For Example- Lic agents have to clear an IRDA Exam in order to be an agent, Bank employees have to clear IBPS Exam etc.
Likewise to sell Mutual Fund Products, he/she must gain knowledge on the industry mechanism. To empower mutual fund aspirants NISM(National Institute of Securities Market)conducts an on-line exam named NISM V A(NISM 5 A- Mutual Funds Distribution Certification Exam) and NISM V B(Mutual Fund Distributors foundation course)
How to clear NISM 5 A Exam–
1.The aspirants have to first register themselves @certifications.nism.ac.in with your PAN Card. Pan card is mandatory for registering for NISM V A exam.
2.Enter your personal details, educational qualifications and address details.
3.After NISM cross-checks your details with Income-tax database, Your “Profile” will be “Approved”
4.Then only, you have to enroll for certification exam
5.For this, you have to pay 1,500 rupees as Exam fees. The details of the exam centers and available time-slots are visible in your login page.
6.Select your exam centre ,time-slot and pay 1,500 rupees(Payment gateway charges may be applicable)
7.After successful payment, you will be allotted a “Work Book” for Exam Preparation. It is available in digital format, if you want it in printed format you have to pay extra fee.
8.After preparing for the exam, attend the exam and clear it successfully. You will be allotted a “Score-Card“at the exam venue.
9.After clearing NISM V A exam, Nism allots a “Digital Cerificate” to your registered email address mentioned in the profile.
Upon getting certificate from NISM, You have to visit nearest CAMS Office(an amfi service Provider and Registrar & Transfer agent of mutual funds)complete KYD(Know your Distributor)Process and pay the applicable fee(1,500 rupees) to cams for getting enrolled under AMFI(Association of Mutual Funds of India)
An Unique ARN(Amfi Registration Number) will be allotted to you
After getting registered AMFI Number, You are eligible to empanel with the mutual fund firms which you wish to work with and continue your business of gathering customers.
You will be paid brokerage on your business on monthly basis.
NISM V A certificate is valid for 3 years only. You have to attend CPE(Continuing Professional Education) or e-cpe(Online continuing professional education exam)and renew the same for another 3 Years.
After renewing your mutual fund distributor(NISM V A)Cerificate you can continue your business. But be remember you have to pay 2,500 rupees for CPE Exam and 750 Rupees (GST Extra) for ARN Renewal.
If you are willing to be a mutual fund distributor, follow the above steps, register and enroll for the same.