Sebi Extends MF Distributor Incentive Deadline to March 1, 2026

• Sebi extended the deadline for implementing additional incentives for mutual fund distributors to March 1, 2026, from February 1, 2026.
• The incentives target new individual investors from B-30 cities and new women investors from any city.
• Distributors can receive 1% of the first lump-sum or first-year SIP amount (up to Rs 2,000) if the investor stays invested for a year.
• Funding for these incentives comes from the 2 basis points AMCs allocate for investor education.
• The extension was granted due to industry feedback citing operational difficulties in setting up requisite systems.

Why It Matters: Sebi delays new MF distributor incentives to March 2026 due to industry operational challenges.