How we are paid
Full disclosure of the commission we receive, who pays it, and the ranges applicable to each product category.
Last updated: 27 July 2026
1. Why this page exists
AMFI requires registered distributors to disclose to investors the commission — in the form of trail, transaction charges or any other payment — received in respect of the schemes they recommend. We take that obligation seriously, because knowing how your distributor is paid is basic to judging the recommendation.
2. What we receive on mutual funds
We distribute regular plans of mutual fund schemes and receive a trail commission from the Asset Management Company. Trail commission is calculated as a percentage per annum of the daily average value of assets held through our ARN, and is paid monthly or quarterly for as long as the investment remains invested.
Indicative ranges, which vary by AMC, scheme and prevailing regulation:
| Scheme category | Indicative trail commission (per annum) |
|---|---|
| Equity — diversified, flexi/multi cap | 0.50% – 1.25% |
| Equity — mid, small and sectoral | 0.60% – 1.40% |
| Hybrid and solution-oriented | 0.40% – 1.10% |
| Debt — medium and long duration | 0.20% – 0.80% |
| Debt — liquid, overnight, ultra short | 0.05% – 0.25% |
| Index funds and ETFs | 0.05% – 0.40% |
| Direct plans | Nil — no commission is payable to distributors |
These ranges are indicative and subject to change by the AMC and by regulation. The exact commission applicable to any scheme you hold through us will be provided on request, and is also disclosed in the half-yearly commission disclosure that AMCs send to investors.
3. Other product categories
These are referral and partner arrangements — see Section 4 for what that means.
| Product | How we are remunerated |
|---|---|
| Life insurance | Commission paid by the insurer, as prescribed under IRDAI regulations. Varies by product type, premium payment term and policy year. |
| Health insurance | Commission paid by the insurer as prescribed under IRDAI regulations. |
| Corporate fixed deposits and bonds | Brokerage paid by the issuer, typically a one-time percentage of the amount mobilised. |
| PMS and AIF | Distribution fee paid by the manager, disclosed on a product-by-product basis before you invest. |
| NPS, demat and account-opening services | Fees, where applicable, are charged by the service provider as per its published tariff. |
4. Referral & Partner Disclosures
Sunshine Financials earns referral fees / commissions from partner entities (Asset Management Companies, Insurance Insurers/Brokers, PMS Providers, and NBFCs) upon successful placement of products. This applies to every product on this website that is not a direct AMFI mutual fund distribution — specifically Specialised Investment Funds (SIF), Portfolio Management Services (PMS), Alternative Investment Funds (AIF), Insurance, Fixed Deposits, Corporate Bonds, GIFT City structures and Demat/direct-equity trading facilitated through our broking partner.
For these referral and partner products, we introduce you to the manufacturer or platform concerned; the product itself is manufactured, executed, held and serviced by that partner, not by us, and the fee or commission is paid to us by the partner, not deducted separately from your investment by us. See our Products page for which category each product falls under, and ask us directly for the specific commission or referral fee applicable to any product you are considering.
5. Transaction charges
Where permitted by SEBI, a transaction charge may be deducted from an investment and paid to the distributor: presently up to ₹100 per purchase of ₹10,000 or more for an existing investor, and up to ₹150 for a first-time mutual fund investor, with SIPs treated separately. We do not levy transaction charges. Where any such charge would apply, it will be disclosed to you in advance.
6. Conflict of interest and how we manage it
Being paid by the manufacturer creates an inherent conflict: schemes and categories do not all pay the same. We manage this by:
- recommending on the basis of goal, horizon and suitability, documented in your plan;
- being empanelled with 45+ AMCs so that no single relationship dominates;
- telling you when a lower-commission or nil-commission route is the better one for you;
- never recommending a switch purely to generate fresh commission; and
- disclosing the commission applicable to any specific recommendation on request.
7. Direct plans
Every mutual fund scheme also has a direct plan, which carries a lower expense ratio because no distributor commission is embedded in it. You are entirely free to invest directly, without us. What you forgo is the planning, selection, execution, review and service work that we do; whether that trade is worth it is your decision to make with the facts in front of you, which is why they are set out here.
8. Advisory fees
We do not charge investors a separate advisory fee for mutual fund distribution. Where any service is offered on a fee basis, the scope and fee will be agreed with you in writing before the work begins.
9. Ask us anything about this
If you want to know exactly what we earn on your portfolio, ask. Write to job.neroth@sunshinefinancials.com and we will send you the figures.