ARM stands for AMFI Registration Number. It is a unique code that will be offered to all the mutual fund seller, broker, and agent as well as an intermediary. The arn number will be given in the form of an identity card. The identity card will be provided with a photograph, address, ARN code and then the validity of the ARN code.
On the other hand for the corporate investor then you will be offered with registration letter that will be included with ARN code, ARN validity and then the name of the corporate. Along with that, the workers will be offered with a EUIN card in that so many details will be offered. For the senior citizens Continuing Professional Education (CPE) will offer the ARN code. In order to sell the mutual fund, the ARN code will provide an authentic distributor or else broker.
Why choose ARN code?
As in general this code is offered to secure the interests of the investor as well as all the parties. For both selling and buying mutual funds, this code means a lot. But if you choose to sell and buy mutual fund the SEBI and AMFI will be provided with a lot of guidelines and terms.
The main reason for the ARN code is that all the distributors and sellers want to stand up for all the terms and conditions mentioned. At the same time, investors and distributors are required to make aware of the investors about the risk present in investing in the mutual fund. For sure want to make the investors understand the in-depth risks.
When comes to the intermediary party that he/she wants to stand up for the terms and condition provided in the Seller’s code of Conduct. All the things will be clearly mentioned in the application form and it is offered by the SEBI. Thus the investors can easily able to follow the rules mentioned in the application form.
If you are an intermediary then you want to get the certification that is called the National Institute of Securities Markets (NISM) certificate. Along with that, you are required to register in the AMFI is a needed one.
What are the benefits of ARM code?
You all know the importance as well as the purpose of the Aadhar card. ARN code is also the same as Aadhar card for the intermediary if you are selling or buying a mutual fund. For both the seller as well as an investor this card is a wanted one. As an investor, you all set to easily monitor the assets that get used by the intermediary, also to estimate the brokerage, the qualities of the intermediary. Finally in order to change the distributor as well.
For the intermediary, the mutual fund process is possible only after he/she gets the ARN code. Before offering the code the AMFI will do so much research about the intermediary and then alone offer it. these are the benefits of arn number so avail it and track the investment you made.