It has been reported that the Security and the Exchange Board of India is planning to frame a new policy for the working of financial advisors and distributors. It has been informed that the policy does formed will set aside the role of financial advisor and financial product distributors.

A discuss about the aforementioned is set to be held soon by the Sebi on Monday. However, the policy will be framed after properly analyzing the prevalent norms of the financial advisors at different developments markets.

Such changes have already taken place in the United Kingdom and Australia. It has been revealed that Sebi will be taking an account of the rule played by the financial advisors at insurance firms. Meanwhile, a study over 756 independent financial advisers has found that the mutual fund distributors are not happy with the steps taken by the Sebi.

It has been revealed that the Mutual Fund investors are being charged Rs 150 for a first-time customer and for the transactions they are being charged Rs 100. The Sebi introduced these charges with the hope of encourage distributors to sell MFs. However, the investors were least attracted by the move.