Grow Your MF Distribution Business

The MF distribution business industry has expanded tremendously in the last few years. It sure has a significant structural growth potential, particularly in India. Mutual fund investments are becoming increasingly important for investors to meet both their short- and long-term financial needs. This is the main factor favorably influencing the expansion of the MF Distribution
Business industry. Furthermore, a well-considered formulation is also essential.


Partners in 732 cities across India


Customers spread over 3,000 pincodes


Transactions Executed

Rs. 3,484

Crore- Transaction Value

We will contact you from time to time to give you updated information on products, investment options via WhatsApp, Email, SMS, phone..

MF Distribution Business Growth Depends on a Simple Formula:
Higher AUM = No. of Customers x Investment Per Customer x Customer Retention %


MF distribution business growth depends on a simple formula: Higher AUM = No. of customers x Investment per customer x Customer retention %

In the contemporary landscape, customer preference leans heavily towards online experiences. Nivesh, an online mutual fund platform, aids Mutual Fund distribution business by enabling them to prioritize customer acquisition and enhance retention rates.

By streamlining operations and minimizing non-essential tasks, Nivesh empowers MF distribution businesses to concentrate on the core objective of business expansion.”

How to Get Your AMFI Registration Number?

1. Utilize social media platforms such as Facebook and WhatsApp to generate leads through personalized and branded content sharing.

2. Enhance online visibility by establishing Google business listings and creating a customized website.

3. Organize Investor Awareness Programs in your local area to engage potential clients.

4. Expand business remotely by distributing the App Referral Link for increased outreach.

Increasing Investment Per Customer

  • Leverage Nivesh’s goal-oriented investment plans to provide tailored asset allocation and fund recommendations, bolstering customer trust in your advisory capabilities.
  • Identify cross-selling and up-selling opportunities through the platform, allowing for targeted outreach with new product suggestions.
  • Empower customers with the Nivesh app, fostering transparency and driving increased business from existing clientele.
  • Data analysis reveals a rising trend of repeat transactions from satisfied customers post-platform usage.
  • Benefit from a diverse product portfolio tailored to meet the specific requirements of customers, facilitating business growth.

Increasing Customer Retention

  • Utilize the online platform’s real-time customer service capabilities to effectively address customer needs, thereby reducing churn rates and significantly enhancing retention levels.
  • Share compelling content curated by Nivesh’s dedicated content team with your existing customer base, fostering engagement and reinforcing your relationship with them.
  • Offering informed guidance during periods of market volatility plays a pivotal role in retaining customers and maintaining their confidence in your services.

Role of a Mutual Fund Distributor in India

A Mutual Fund Distributor acts as an intermediary that assists investors in buying and selling mutual fund units. Distributors may operate independently or work with financial institutions, and earn commissions or fees for the services they provide. His job entails educating investors, evaluating their financial requirements, facilitating transactions, offering guidance, and ensuring compliance with regulations. There exists a lower penetration of the mf distribution business in India, despite the rapid growth in demand for Mutual Fund Distributors. This saturation in our market is revealed when comparing the AUM to GDP ratio of India (17%) to other developed nations, such as the US (140%). (AMFI & World Bank, 2021). This data presents promising perspectives for individuals aiming to explore a career in the mf distribution business industry.

How to Grow Your MF Distribution Business?

Becoming a Master Mutual Fund Distributor is no easy task, and to capture the market there exist some additional skills & services to be equipped with. Earning your client’s trust is integral in the process of growing your business. It is essential to distinguish yourself as a distributor that will ethically assist investors in their wealth growing journey. Attaining this distinction is possible through various means, such as 

  • Utilising online platforms to effectively address the needs of your customer base. 
  • Fostering engagement by equipping your clients with content and updates
  • Staying updated with the current market trends and apprising them of professional guidance, reinforcing their trust. 

How to Become a Master in MF Distribution Business

As a Mutual Fund Distributor, there exist multiple responsibilities you must fulfill.

  • These involve informing investors about various mutual fund schemes, including the risks and returns while highlighting long-term strategies and laying emphasis on diversification.
  • As you become a Mutual Fund Distributor, you must assess your investors’ needs and tailor their portfolios in accordance with their risk tolerance, financial goals, and objectives.
  • Additionally, when you become a Mutual Fund Distributor, you assist customers with paperwork, such as KYC registration, and offer personalized advice on investment and portfolio diversification, along with providing regular assistance and answering their queries.
  • Ensuring compliance with SEBI guidelines and keeping an accurate and transparent record of all client conversations is crucial when you become a Mutual Fund Distributor.

By checking all these boxes, you stand a chance of excelling as a Master Mutual Fund Distributor.

Frequently Asked Questions:

1. What is a Mutual Fund Distributor (MFD)?

A Mutual Fund Distributor acts as an intermediary that assists investors in buying and selling mutual fund units. Distributors may operate independently or work with financial institutions, and earn commissions or fees for the services they provide. 

 2. What qualifications do MFDs need to have?

The National Institute of Securities Market (NSIM) is a SEBI sponsored educational program, which administers the NISMNSIM-Series-VA test. Use the official NISM website or approved testing facilities to register for the NISM-Series-V-A exam. Obtain your Association of Mutual Funds in India (AMFI) Registration Number (ARN) upon clearing the NISM exam. Your individual identifying number when it comes to distributing mutual funds lawfully is the ARN. Select from a direct empanelment with several mutual fund companies or use online distribution channels such as Nivesh. 

3. What are the differences between MFDs and other financial advisors?

While MFDs primarily focus on selling Mutual Funds, Financial Advisors can deal with a wider range of services beyond just Mutual Funds. Since their area of expertise also varies, the educational qualification of a Financial Advisor is unique to their chosen field, unlike MFDs, who are required to obtain an AMFI certification.

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