Top 50 Mutual Fund Abbreviations ( Full form & Explanation)
SIP – Systematic Investment Plan
A systematic investment plan is an investment vehicle offered by many mutual funds to investors, allowing them to invest small amounts periodically instead of lump sums.
NAV – Net Asset Value
The Net Asset Value represents the per-unit market value of all the assets of the mutual fund.
AUM – Assets Under Management
Assets Under Management refers to the total market value of the assets that a mutual fund manages on behalf of its investors.
ELSS – Equity Linked Savings Scheme
An Equity Linked Savings Scheme is a type of equity mutual fund that offers tax benefits under Section 80C of the Income Tax Act.
ETF – Exchange-Traded Fund
An Exchange-Traded Fund is a type of investment fund that is traded on stock exchanges, much like stocks.
NFO – New Fund Offer
A New Fund Offer is the first-time subscription offer for a new scheme launched by a mutual fund company.
STP – Systematic Transfer Plan
A Systematic Transfer Plan allows an investor to transfer a fixed amount of money from one mutual fund scheme to another.
SWP – Systematic Withdrawal Plan
A Systematic Withdrawal Plan allows investors to withdraw a fixed amount of money from their mutual fund investments at regular intervals.
AMC – Asset Management Company
An Asset Management Company is responsible for managing the pooled funds of investors in a mutual fund.
CAGR – Compound Annual Growth Rate
The Compound Annual Growth Rate is the rate of return required for an investment to grow from its beginning balance to its ending balance.
TER – Total Expense Ratio
The Total Expense Ratio is the percentage of a mutual fund’s assets that go toward the costs of managing the fund.
KYC – Know Your Customer
Know Your Customer is a mandatory process for identifying and verifying the identity of the investor when opening an account.
SEBI – Securities and Exchange Board of India
The Securities and Exchange Board of India is the regulator for the securities market in India.
RTA – Registrar and Transfer Agent
A Registrar and Transfer Agent maintains records of investors and processes transactions on behalf of the mutual fund.
FMP – Fixed Maturity Plan
A Fixed Maturity Plan is a type of debt fund that has a fixed tenure and invests in fixed income instruments.
MIP – Monthly Income Plan
A Monthly Income Plan is a type of mutual fund that primarily invests in debt instruments with a small portion allocated to equities.
G-Sec – Government Securities
Government Securities are debt instruments issued by the government to raise funds.
ULIP – Unit Linked Insurance Plan
A Unit Linked Insurance Plan combines investment and insurance, where the premium is partly used to provide life insurance cover.
IPO – Initial Public Offering
An Initial Public Offering is the process by which a private company offers shares to the public for the first time.
RSP – Regular Savings Plan
A Regular Savings Plan allows investors to commit to a certain savings amount at regular intervals in a mutual fund.
KIM – Key Information Memorandum
The Key Information Memorandum is a summary of the most important information about a mutual fund scheme.
SID – Scheme Information Document
The Scheme Information Document provides detailed information about a mutual fund scheme.
ISIN – International Securities Identification Number
The International Securities Identification Number is a unique code used to identify securities, including mutual fund units.
SORP – Statement of Recommended Practice
The Statement of Recommended Practice provides guidance on accounting and reporting practices for mutual funds.
YTM – Yield to Maturity
Yield to Maturity is the total return anticipated on a bond if it is held until it matures.
FOF – Fund of Funds
A Fund of Funds is a mutual fund that invests in other mutual funds.
CRISIL – Credit Rating Information Services of India Limited
CRISIL is a credit rating agency that provides ratings on debt instruments in which mutual funds invest.
CAS – Consolidated Account Statement
A Consolidated Account Statement provides investors with a single view of all their mutual fund holdings across different AMCs.
FATCA – Foreign Account Tax Compliance Act
FATCA is a U.S. law that requires foreign financial institutions, including mutual funds, to report information on accounts held by U.S. taxpayers.
MSME – Micro, Small, and Medium Enterprises
MSMEs are a vital part of the economy, and some mutual funds focus on investing in companies within this sector.
PE – Price to Earnings Ratio
The Price to Earnings Ratio is a valuation ratio of a company’s current share price compared to its per-share earnings.
PMS – Portfolio Management Services
Portfolio Management Services are specialized investment management services offered to high-net-worth individuals by AMCs.
ICRA – Investment Information and Credit Rating Agency
ICRA is a credit rating agency in India that evaluates the creditworthiness of debt instruments in which mutual funds invest.
ARN – AMFI Registration Number
The AMFI Registration Number is a unique code assigned to mutual fund distributors by the Association of Mutual Funds in India.
RMF – Retail Mutual Fund
Retail Mutual Funds are schemes primarily marketed to individual investors as opposed to institutional investors.
REIT – Real Estate Investment Trust
A Real Estate Investment Trust is a company that owns, operates, or finances income-producing real estate.
RBI – Reserve Bank of India
The Reserve Bank of India is India’s central banking institution, which controls the issuance and supply of the Indian rupee.
SWP – Systematic Withdrawal Plan
A Systematic Withdrawal Plan allows investors to withdraw a fixed amount of money from their mutual fund investments at regular intervals.
STT – Securities Transaction Tax
Securities Transaction Tax is a tax levied on every purchase and sale of securities listed on Indian stock exchanges.
FDI – Foreign Direct Investment
Foreign Direct Investment refers to an investment made by a firm or individual in one country into business interests located in another country.
REPO – Repurchase Agreement
A Repurchase Agreement is a short-term borrowing for dealers in government securities.
IDCW – Income Distribution cum Capital Withdrawal
IDCW refers to the dividends paid out by mutual funds from the income generated by the fund.
YTD – Year to Date
Year to Date refers to the period beginning the first day of the current calendar year or fiscal year up to the current date.
GDR – Global Depository Receipt
Global Depository Receipts are certificates issued by a bank representing shares in a foreign company.
VAR – Value at Risk
Value at Risk is a statistical technique used to measure the risk of loss on a specific portfolio of financial assets.
FMP – Fixed Maturity Plan
A Fixed Maturity Plan is a type of debt fund that has a fixed tenure and invests in fixed income instruments.
FD – Fixed Deposit
A Fixed Deposit is an investment vehicle provided by banks or NBFCs that offers a fixed rate of interest over a predetermined period.
CP – Commercial Paper
Commercial Paper is an unsecured, short-term debt instrument issued by companies to meet their short-term liabilities.
NPS – National Pension System
The National Pension System is a government-sponsored pension scheme in India that provides long-term retirement savings options.
STP – Systematic Transfer Plan
A Systematic Transfer Plan allows an investor to transfer a fixed amount of money from one mutual fund scheme to another.
