Investor Protection Fund for mutual funds

Tue, 19 May 2026 00:00:00 +0000

The Investor Protection Fund (IPF) framework provides residual compensation to mutual fund unit holders in cases of AMC default, fraud, or operational failure where standard insurance and trustee responsibilities cannot fully cover losses. The framework is established under SEBI’s broader investor-protection regime and complements the Corporate Debt Market Development Fund (CDMDF) and other market-stabilisation mechanisms.

For Indian retail investors, the IPF is a backstop layer for rare scenarios where AMC failure causes investor loss beyond what trustee and insurance arrangements can cover.

Compensation on WebNotes

Investor Protection Fund for mutual funds