-
52. '' The disclosures need to be scrutinized in a manner so as to reveal their ability to not only make the investors aware of such '' related '' transaction but also empower them to understand the implication of the same .'' In this context ,explain the SEBI specifiaction to AMC while preparing Annual report.
Ans: According to Regulation 54 of SEBI Regulations each financial year,every Mutual Fund of the Asset Management Company shall prepare an annual report and annual statement of accounts for all schemes and Fund as specified in Eleventh Schedule.
An Annual Report should contain the following;
- Report of the Board of Trustees on the operations
- Balance Sheet
- Revenue Account
- Auditor's Report
- Brief statements of board of trustees on liabilities and responsibilities of the trustees,objective of investments,basis and policy of investments and comments of the trustees on performance of scheme
- A statement to the effect that the price and redemption value of the units , and income from them,can go up as well as down with the fluctuation in the market value of its underlying investments.''
- Statements giving relevant perpective historical per unit statistics
- Statement to the effect that '' on written request , present and prospective unit holder/investors can obtain copy of the trust deed, the annual report at a price and the text of relevant scheme.''