The National Stock Exchange of India (NSE), on November 25, 2025, implementing revised nomination opt-out facilities on the NSE MF Invest Platform in line with the Securities and Exchange Board of India (SEBI) circular dated January 10, 2025. The update introduces additional data-capture requirements for non-demat mutual fund transactions, ensuring compliance with SEBI’s mandate effective from 15 December 2025.
Under the revised process, members must now record the investor’s mode of opting out (OTP-based or video recording), obtain a declaration for OTP-based opt-out, and capture a unique opt-out reference number. These changes apply only to non-demat transactions. NSE has clarified that the existing UCC file structure will accommodate these updates using filler fields, and corresponding API headers will be added. Importantly, these changes will not affect ongoing SIPs, purchases, redemptions, or reporting processes in physical mode.
Further, SEBI requires regulated entities—AMCs, RTAs, AMFI, recognized depositories, and depository participants—to securely capture, store, and produce evidence of investors opting out of nomination. Such evidence must be submitted to RTAs/AMCs or regulators upon request or at specified intervals, ensuring stronger compliance monitoring and investor protection.
[Notification No. NSE/NMFTM/71461]
