When it’s just not quite differentiating both of them it’s quite hard to complete, as both assert in making investment decisions. That involves choosing MF schemes as skillfully. Both are the enrolled entities and managed by the rotate regulatory body. As the Mutual Fund Distributor is knocked out and controlled by AMFI ( The Association of Mutual Funds in India). And the Investment Advisors are controlled by SEBI (Securities and Exchange Board of India).
Before all along upon first admit a difference lets discuss that who are mutual fund distributor and investment advisor is?
Investment Advisor- A Investment Advisor is an individual or group who meet the expense of financing and investment advice. Even manages securities analysis in reward for a press on, whether by focus on administration of client assets or by written publications. If he has sufficient assets to be enrolled gone the SEC is recognised as a Registered Investment Advisor or RIA. Investment Advisors are pen make known “Financial Advisors”. He/she reach an review of the fortune-hunter’s assets, liabilities, pension and expenses and advise investment plot. Do you know about Investment management?
Mutual Fund Distributor – They be person or entity facilitating in buying and selling of MF units to the investors. They earn allowance in the form of commission for bringing leads(investors) for investing in MF schemes. He/she is traditional to know the swashbuckler’s have an effect on, risk profile and intend all right investment plan to meet the entrepreneur’s demands.
Getting a commission never means that a Mutual Fund distributor is allowed to trade the MF plot to the investors just to get your hands on a commission. Well, the regulations are totally hostile in this be beached on.