What is ARN Code?
Application Reference Number (ARN) Code is a unique number assigned to every qualified Mutual Fund expert or Mutual Fund distributor for trading in the schemes. This code is allocated by the Association of Mutual Funds in India (AMFI), required by the Asset Management Companies (AMC) to deal with Fund Managers in the selling and marketing of Funds.
Who gets the ARN Code?
- All the Mutual Fund brokers/mediators/agents get the ARN Code after getting the certification from National Institute of Securities Markets (NISM).
- Individual Intermediaries are given a photo Identity Card which consists of the unique ARN Code, address of the intermediary and ARN validity period
- Corporate organisations/individuals are rendered with a letter of registration which has the ARN code mentioned along with the name of the individual/corporate, the validity period of ARN.
- The corporate employees get Employee Unique Identification Number (EUIN) Card with similar details
- Senior Citizens with Continuing Professional Education (CPE) which abides them to follow the code of conduct as specified in the application form
Format of ARN Code
Given below is an example of the format of Application Reference Number-
Why is an ARN Code required?
An individual shows more trust in a uniformed officer as compared to that of an officer in a civil dress. Likewise, a fund agent or broker with ARN Code is more trusted by the investors. This is because the code is specifically allocated to the Mutual Fund agents and managers only after they receive proper certification in the domain of fund management.
- As a fund expert is obligated to inform and safeguard the investments of the investors, the entitlement of an ARN Code immediately increases their goodwill.
- The Securities and Exchange Board of India (SEBI) has initiated several measures to make sure that the investors’ resources are secure. One such security measure is the mandatory attainment of an ARN Code is mandated for the distributors
Advantages of Having an ARN Code
- It is necessary for both the intermediary and the investor to have an ARN Code.
- It works as an Identity for the Mutual Fund advisors, fund agents, distributors and mediators
- It facilitates the tracking of the assets enlisted by the intermediary
- It helps to calculate the brokerage of the intermediary
- Once an intermediary gets an ARN Code, it becomes legally eligible to distribute Mutual Funds
- With ARN Code, Investors get the assurance that the intermediary is a registered Fund Advisor and will function in coherence to the code of conduct set by the AMFI
- ARN can be leveraged by the investors by changing the distributors. In case of change of distributor, the investor faces no charges for trail commissions which consequently gives them long-term financial benefits
Documents Required to Get ARN Code
To get an ARN Code, following documents are to be submitted by the applicants-
- Copy of the NISM Certificate
- Copy of Aadhaar Card
- Pan Card Copy
- Proof of Bank Account
- 2 Passport sized photos
How to Apply for an ARN Code?
The registration of ARN Code can be done on both offline and online platforms.
There are multiple Computer Age Management Services Pvt. Ltd. (CAMS) regulated by the AMFI to perform as a processing agent for ARN.
- Obtain the application form for ARN from your nearest CAMS
- Fill all the details on the form carefully
- Attach the documents required with the application form
- Submit the form along with self-attested documents for further processing
- Register online by visiting- https://web.camsonline.com/AMFI/login.aspx
- The application form obtained from nearest CAMS must be submitted along with Know Your Dealer (KYD) acknowledgement. In case the application for KYD is still in process, the application form for KYD should be presented in person
- All the documents required must be examined, attached with the application and designated fees
- Application fees for Individuals and Senior Citizens is Rs.3540
- Once the procedure is completed, a mail regarding the letter of registration photo identity card is sent to the applicant
Renewal of ARN Code
The renewal of ARN/EUIN Code is to appealed on or 6-months before the validity of the code gets expired.
- If the renewal is appealed before expiry of validity period, the ARN/EUIN would continue for the remaining period
- If the renewal is appealed after expiry of validity period, new ARN/EUIN code would be valid from the date of submission of the renewal application till the validity date specified on the NISM passing certificate / CPE Certificate.
- For corporate ARN Code Holders, the renewal takes place for 3 years from the date of submission of ARN renewal application.
How to Renew the ARN Code?
- Download the renewal form from the following links-
A. For Individual/ Employee/ New Cadre of Distributors- Click Here
B. Form for corporates– Click Here
- Fill the form carefully and attach the required documents
- Submit the same to process the application
Frequently asked Questions
Q. What is the minimum age to get ARN?
A. 18 years is the minimum age to get an ARN Code
Q. Can I apply for ARN without certification?
A. No, the certification from AMFI is necessary to get your ARN Code.
Q. From where can I get the forms for ARN Code application?
A. You can visit https://www.amfiindia.com/downloads to get all the related documents for ARN Code.