Know Your Customer (KYC) is a process introduced by SEBI as part of the Prevention of Money Laundering Act (PMLA). Under this, all Mutual Funds are required to comply to the KYC guidelines wherein they are required to perform customer due diligence for all their investors. Earlier, KYC was mandatory for Mutual Fund investments of Rs. 50,000 and above but now KYC has been made mandatory for investments of all amounts.
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