Corporate Law2 min read

SEBI seeks public comments on allowing employers to invest in mutual funds for staff via salary deductions

SEBI Mutual Fund Salary Deductions: In a consultation paper, the market regulator said the proposal is aimed at balancing "ease of investing in genuine cases" with compliance under the Prevention of Money Laundering Act (PMLA).

ShareWhatsAppXLinkedIn
ET
ET Legal Bureau·
#SEBI#Data Privacy#Election
SEBI seeks public comments on allowing employers to invest in mutual funds for staff via salary deductions

Published On May 21, 2026 at 01:36 PM IST

Securities and Exchange Board of India (SEBI) has proposed allowing employers to make consolidated mutual fund investments on behalf of employees through payroll deductions, as part of a broader move to relax third-party payment norms in certain cases while retaining safeguards against money laundering and misuse. In a consultation paper, the market regulator said the proposal is aimed at balancing "ease of investing in genuine cases" with compliance under the Prevention of Money Laundering Act (PMLA). "The proposed scenario acknowledges the established practice of employers offering various benefits and savings avenues to their employees. This mechanism would allow AMCs to accept consolidated payments for mutual fund investments through salary deduction," the consultation paper said.

Published On May 21, 2026 at 01:36 PM IST

SEBI mutual fund salary deductions,

employer payroll mutual fund investment,

third-party payment norms SEBI,

PMLA compliance mutual funds,

AMCs salary deduction investment

By commenting, you agree to the Prohibited Content Policy

By commenting, you agree to the Prohibited Content Policy

Find this Comment Offensive?

Inciting hatred against a certain community

Out of Context / Spam

Join the community of 2M+ industry professionals.

Subscribe to Newsletter to get latest insights & analysis in your inbox.

All about ETLegalWorld industry right on your smartphone!

Download the ETLegalWorld App and get the Realtime updates and Save your favourite articles.

See whats happening in Legal sector right now

Read and get insights from specially curated unique stories from editorial

Business leaders sharing their insights

Explore and discuss challenges & trends in India's leading B2B events

Recognise work that not only stood out but was also purposeful

Join leaders & experts for roundtables, conferences, panels and discussions

Join the community of 2M+ industry professionals

Subscribe to our Daily Newsletter

By continuing you agree to our Privacy Policy & Terms & Conditions

We have various options to advertise with us including Events, Advertorials, Banners, Mailers, etc.

Download ETLegalWorld App

Save your favourite articles with seamless reading experience

Get updates on your preferred social platform

Follow us for the latest news, insider access to events and more.

Guest-Post Guidelines

Guest-Post Guidelines

The Economic Times Business Verticals

Marketing & Advertising

@2026 ETLegalWorld.com. All Right Reserved.

Times of India Group Events

SEBI seeks public comments on allowing employers to invest in mutual funds for staff via salary deductions — SuperLaw — SuperLaw