AMFI should form ethics committee to check individual misconduct: Sebi chief Buch

Mumbai, May 30 (PTI) The mutual fund industry needs to form an ethics committee as the biggest risk to the growth in the industry is individual misdemeanour, Securities and Exchange Board of India (SEBI) chairperson Madhabi Puri Buch said on Tuesday.

"Today where we are as an industry, we have a very strong foundation. Now is the time to build a superstructure on top of this. I think the only thing that is a risk to the industry is individual misconduct...if we find it, unfortunately as a regulator we have to step in," Buch said at an event.

The foundation of the MF industry is very strong and the only thing that can shake it is the individual misdemeanour, therefore, there are talks of the Association of Mutual Funds in India (AMFI) having an ethics committee, in whatever form or manner, and for that committee to take action against those doing wrongdoings in the market on a self-regulatory basis, she added.