As per the recent SEBI circular, this is how NAV will be allotted for all investment transactions from 1 Feb 2021 onwards:
SEBI has mandated that all investment transactions, irrespective of amount and type, will be processed by the Mutual Fund companies only when the money reaches their bank account.
Based on current money transfer systems via banks, we have come up with likely NAV allotment dates for different types of investments and payment methods available on Niyo Money. Please note that to ensure safety and regulatory compliance, the money never goes through our accounts and directly goes from your bank account to the Mutual Fund companies’ account directly via the payment partners so we have no control over the timelines.
*These are the most likely but not guaranteed timelines. NAV date could be later than that mentioned here. The money movement is dependent on the banking systems and we have no control over them.
T = Day on which transaction is made or next business day if the transaction is made on a non-business day. For SIP transactions, T means SIP date. T+1 means one business day after the transaction date, T+2 means two business days after the transaction date, and so on. So for eg., if a transaction is made on Friday (T) then T+2 will mean Tuesday. All Saturdays and Sundays are non-business days for the MF companies.
There are no changes in the NAV allocation for redemption transactions.
Important Note: This is a big change and requires coordination and efforts amongst platforms like us, RTAs like CAMS and Karvy, Mutual Fund companies, payment gateways, and NPCI. It may take some time for various stakeholders to streamline their processes around this change. Based on this, we’ve been told to expect some deviation from the likely NAV allotment dates (mentioned in the table above) for the first couple of months. As and when we have more information on NAV allotments we will keep you informed (and update such information everywhere).
You can read more about the new NAV allocation rules in detail in our blog.
If you wish to check by when your investment will get processed or reflect on your dashboard, you can refer to this FAQ