This blog provides a structured breakdown of SEBI’s prescribed timelines for PMS-related activities.
March 05, 2024
Account Opening & Nominee Registration Timelines
✔ Resident Clients: PMS account (including demat) must be opened within 7 days from receipt of all necessary documents.
✔ Non-Individual Clients: PMS account opening within 14 days from document submission.
✔ Non-Resident Clients: PMS account, demat and trading accounts must be opened within 14 days.
✔ Nominee Registration: Must be completed along with the account opening, following the same timeline.
✔ Nominee Modification: Any nominee modifications must be completed within 10 days of receiving a valid request.
Example: If a non-resident client submits complete documents on March 1, the PMS provider must complete the account opening process by March 15.
KYC & Client Agreement Timelines
✔ Uploading PMS Account in KRA & CKYC Database: Within 10 days of account opening.
✔ Type of PMS Account (Discretionary/Non-Discretionary): Must be disclosed at the time of signing the PMS agreement.
✔ Copy of Executed PMS Agreement: Provided within 3 days of client request.
✔ Custodian Details (Name & Demat Account): Provided within 3 days of PMS account opening.
✔ Disclosure of Bank Accounts Where Client Funds Are Kept: Provided within 3 days of PMS account opening.
Investor Grievance Redressal Timelines
✔ Resolution of Investor Complaints: Must be completed within 30 days, provided all necessary information is available.
✔ Conflicts of Interest Disclosure:
Portfolio Managers must disclose related-party transactions in the PMS Disclosure Document.
The disclosure document must be updated on the PMS provider’s website at all times.
✔ Latest PMS Disclosure Document:
Provided to investors before account opening.
Kept updated on the PMS provider’s website at all times.
Example: If a client files a complaint about incorrect fee deductions on July 1, and all necessary details are available, the Portfolio Manager must resolve the complaint by July 31.
Disclaimer
For detailed PMS service timelines, refer to SEBI’s official website (www.sebi.gov.in). This content is for informational purposes only and should not be considered legal advice.
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