Sebi Rolls Out MITRA Platform to Reclaim Dormant Mutual Funds

The Securities and Exchange Board of India (Sebi) unveiled the digital platform MITRA to help investors trace and reclaim inactive or unclaimed mutual fund folios. Designed as Mutual Fund Investment Tracing and Retrieval Assistant, MITRA aims to address the issue of forgotten mutual fund investments, encouraging investors to update their KYC.

The Securities and Exchange Board of India (Sebi) has launched a new digital platform named MITRA to assist investors in tracking and reclaiming dormant mutual fund folios. The Mutual Fund Investment Tracing and Retrieval Assistant is designed to help investors locate forgotten investments and update their KYC information in compliance with existing norms.

According to a circular issued by Sebi, the platform is poised to tackle a growing worry among investors—losing track of their mutual fund investments. Inactive folios, often a result of outdated contact information or unawareness, are at risk of fraudulent redemptions.

Sebi has mandated all stakeholders, including Asset Management Companies, Registrar and Transfer Agents, and mutual fund distributors, to raise awareness about the MITRA platform. The move aims to increase KYC compliance and minimize unclaimed mutual fund folios, thereby safeguarding investor interests.