Inviting Comments on the Report of the Committee to recommend measures for curbing mis-selling and rationalizing distribution incentives in financial products
Based on the recommendations of the FSDC Sub-committee, Government of India set up a Committee on 20.11.14 under the Chairmanship of Shri Sumit Bose, Former Union Finance Secretary with the following terms of reference:
- The Committee would study the prevailing incentive structure among various financial investment products taking into account the historical evolution of such structure in India and globally and also the differential nature of the product itself.
- The Committee would suggest policy measures such that differential regulatory norms do not favour any particular financial product and prevent mis-selling. The study would also address issues with respect to hidden costs and identical financial products under different regulatory jurisdiction.
- Suggest measures to rationalize the incentive structure across financial products.
2. The Committee submitted its report(4 MB) on 10th August 2015.
3. It is clarified that the views and recommendations contained in the Committee Report are those of the Committee and not of the Government. Government will take a view of the same only after public consultation.
4. All stakeholders concerned are requested to forward their comments/suggestions that they wish to submit on the Report by 5th October 2015 by e-mail to alka[dot]taneja[at]nic[dot]in or in hard copy to Ms. Alka Taneja, Section Officer(SM Section), FM Division, Department of Economic Affairs, Room No. 66A-I, North Block, New Delhi - 110001.