Why Registrar and Transfer Agent Boon For MF Houses & Investors?

If you are one from the world of share investment and trading, you must have heard the word - Registrar And Transfer Agent more often. And there could be a possibility that you might have just heard about it but do not know its meaning and role.

This article is all about Registrar & Transfer Agents and their role. Let us start with its meaning.

Meaning of A Registrar & Transfer Agent

A Registrar & Transfer Agent, generally known as RTA refers to an intermediary or agent appointed by the mutual fund houses to execute the operations such as facilitating the transactions and maintenance of its records on behalf of mutual fund houses. 

The beneficial role of an RTA Agent is not limited to the mutual fund houses but it extends to assisting the clients as well. RTA takes care of financial as well as non-financial transactions for the mutual fund houses and at the same it caters the multiple needs such as handling the transactions, releasing the investors’ forms, issuing the account statements and so on, of the diversified clients situated at different locations of the country as well-known RTAs such as SAG RTA have their roots expanded all over the country through its branches.  Besides, Registrar & Share Transfer Agent notifies the investors about different beneficial offers and schemes, help them with securities dematerialization and dividend payment. 

In short, RTA is an important link between mutual fund houses and investors with enormous benefits, when chosen correctly. SAG Registrar And Transfer agent is the one such RTA which serves all ordinary services such as Transposition, Transmission, Name Deletion, Name Change, Client Signature and Address change in addition to the exceptional benefits such as IEPF claim settlement, Securities dematerialization via CDSL/NSDL depositories, dividend payout through ECS transfer; to the investors. 

SAG RTA is a SEBI certified & Rajasthan's first RTA Services provider and its innovative approach adds value to its services & guarantees accuracy, alacrity & on-time execution of responsibility on investors’ behalf.

Now, let us hone in on to the need for Registrar and Transfer Agents and benefits served by them.

Firstly, let's understand why mutual fund houses need RTA?

Need of RTA for Mutual Fund Houses

Mutual fund houses have a large number of investors who carry out numerous transactions regularly. Transactions such as switching, selling and purchasing shares or equities carried by investors need to be recorded by the mutual fund companies which also has to upkeep and update the personal details of investors from time to time or whenever required. 

Managing, maintaining and recording the personal details of the investor such as inventors' name, address, contact information along with the transactions executed by them is a big task in itself which demands time, energy and expertise. Mutual Fund Houses may or may have that much time and proficiency which is required but RTAs are experts and specialized in all these activities so mutual fund houses hire them or outsource their work to these trained agents who will take the entire responsibility on their shoulder.

Read Also:- Registrar and Share Transfer Agents To Facilitate Transactions in Mutual Funds 

Benefits of Registrar and Transfer Agent to the mutual fund houses and Investors

The first and fundamental benefit of hiring an RTA for the mutual fund house is the reduced cost and availability of time & energy for the mutual fund houses to focus on their core activities and hunt more opportunities to grow in the share market. 

Since RTAs take care of client’s transactions on behalf of mutual fund houses, the task is accomplished in a professional sense as RTAs are trained professionals and also mutual fund companies do not need to invest their time in the same. 

RTA acts as a promoter also. RTA has its presence throughout the country via its branches so it promotes the mutual fund houses at a faraway level & generating new clients while satisfying its current clients already present in different areas. In this way, it acts as a sales & popularity booster for the mutual fund houses. 

Benefits of Registrar and Transfer Agents to investors include the availability of different investment offers & schemes at a single window. RTA informs investors about various beneficial schemes and this knocks off the need for the investor to visit different fund houses to invest with them which also saves time & energy of the investor.

An R&T agent serves as a single-window solution to make an in-time investment in different fund houses. 

Ensure to choose an RTA which is SEBI approved and has excelled in providing innovative services. After-sale service is also a point to ponder while choosing an RTA service provider. SAG RTA Registrar and Share Transfer Agent have a squad of experts for all-day-long customer care support.