An Asset Management Company (AMC) is an investment management firm that invests the pooled funds of retail investors in securities in line with the stated investment objectives. For a fee, the investment company provides more diversification, liquidity, and professional management consulting service than is normally available to individual investors.
The diversification of portfolio is done by investing in such securities which are inversely correlated to each other. They collect money from investors by way of floating various mutual fund schemes.
Asset Management Company approved by SEBI manages the funds by making investments in various types of securities .
AMC employs a large number of professionals to make investments, carry out research and mutual funds depends upon the efficiency of this AMC Registrar or Transfer Agent
The AMC if so authorized by the trust deed appoints the registrar and transfer agent to the MF.
The registrar processes the application form, redemption requests and dispatches account statements to the unit holders.
The Registrar &Transfer Agent also handles communications with investors and updates investor records.