ISLAMABAD:(Rana Tariq) To facilitate seamless onboarding of investors, the Securities and Exchange Commission of Pakistan (SECP), has allowed Asset Management Companies (AMCs) and Pension Fund Managers (PFMs) to conduct investor identity verification. They may do so either on their own, or by obtaining identification documents from the onboarding platform through which micro-saving customer is being onboarded.
This development will not only support AMCs and PFMs in smooth integration with potential branchless banking operators and Electronic Money Institutions but will also assist in complying with applicable requirements of AML/ CFT regulatory framework.
The new regulation is part of SECP’s efforts to usher in a new era of smart investing and to ensure provision of seamless onboarding experience for mutual fund investors onboarded through branchless banking and EMI platforms to open Sehl Sarmayakari Accounts.
SECP introduced Sehl Sarmayakari Accounts to promote micro-savings culture where a customer can be seamlessly onboarded through digital wallets/ branchless banking operators without providing any additional information/ document to the AMCs.
This reflects the SECP’s continued commitment to support digitalization and providing a conductive investment climate for growth of non-bank financial sector and capital markets. SECP is of the view that as the industry transitions towards the digitization of financial services, digital onboarding will soon become the norm in the industry.