Mutual funds to trade on stock exchanges

Soon you will be able to buy mutual fund products from registered brokers, just as you do stocks and shares.

Soon you will be able to buy mutual fund products from registered brokers, just as you do stocks and shares.

The Securities and Exchange Board of India (SEBI) on Friday said mutual funds could also be traded on stock exchange terminals, and the units held in dematerialised form.

“Units of mutual fund schemes may be transacted through registered stock brokers of recognised stock exchanges. Such brokers will be eligible to be considered as official points of acceptance,” the regulator said.

SEBI said this was aimed at extending the reach of mutual funds to rural areas, small towns.