SEBI has introduced a single NISM Series V-D certification for distributors of both mutual funds and Specialised Investment Funds. This move replaces the previous dual-certification requirement to simplify compliance as the SIF category experiences rapid growth in assets under management.
Detailed Coverage
The Securities and Exchange Board of India has simplified the qualification framework for financial distributors by introducing a single, unified certification. Starting July 21, 2026, the regulator launched the NISM Series V-D certification, which covers both mutual fund products and Specialised Investment Funds (SIFs). This update removes the previous requirement for distributors to hold multiple certifications, such as the NISM Series V-A and Series XIII, to sell these products.
Impact on Distribution and Compliance
The previous regulatory framework often required SIF distributors to maintain separate credentials, which market participants had frequently highlighted as a source of administrative complexity. By consolidating these into the new Series V-D, SEBI aims to streamline the onboarding and compliance process for intermediaries. For those who currently only distribute standard mutual funds, the existing NISM Series V-A certification continues to be the only requirement. The regulator has also confirmed that the NISM Series XIII certification will be discontinued for SIF distribution purposes.
Transition Rules for Existing Professionals
Distributors currently holding certifications have clear transition timelines. Professionals who secured the NISM Series XIII certification on or before September 21, 2026, will be grandfathered under the old rules. These individuals can continue to sell SIF products until their current certification expires, provided they also hold a valid Series V-A certificate. Once these certifications expire, distributors must clear the new Series V-D examination to maintain their eligibility. This phased approach is designed to give the industry sufficient time to adapt to the new standard without disrupting current business operations.
Growth Context of Specialised Investment Funds
This regulatory update follows the introduction of the SIF framework in February 2025, which serves as a mid-tier investment product between traditional mutual funds and Portfolio Management Services (PMS). The category has attracted significant attention, with data showing a 29% month-on-month growth in assets under management, reaching ₹17,858 crore by the end of June 2026. As these funds continue to scale, the streamlined certification process is expected to improve the availability of qualified distributors to manage the rising investor interest. AMFI and asset management companies have been tasked with ensuring that all distribution networks transition to this new framework in line with the announced timelines.