AMC Full Form | complete detail
AMC FULL FORM:
In this post, you will get AMC Full Form and other concepts related to AMC. Like AMC in banking, AMC in trading, AMC in medical, AMC in college, AMC in agriculture, and AMC full form in abbreviation.
AMC FULL FORM in Banking:
The AMC long form is an Annual Maintenance Contract. The AMC is also known as Annual Maintenance Charges. It is offered by the manufacturing companies after-sales the product to the customer to have believed in the company. AMC is the term refer to the supplier and buyer.
The manufacturing companies provide the maintenance service to the buyer to a valuable product. This maintenance service may be free and charges depending on the product taken by the customer. if the product is a unique value that comes under lakhs or thousands of rupees.
For example: when you buy a car, there is a contract between the supplier and buyer person. On that agreement paper, the annual service detail is provided to the owner in the paper, so that the owner of the car has to comes to the service center for service on the particular date given on the paper of agreement.
Benefits of AMC:
The customer gets satisfaction on the manufacturing company and also on the product because the product has maintenance, regular checkup, the performance of the product increases, etc.
for more information about the AMC in other fields go here and go for knowledge. Fields like agriculture, medical, college, business, and more.
AMC FULL FORM IN TRADING (MUTUAL FUNDS):
The AMC Full Form in trading is the Asset Management Company. The market governs by SEBI. Just like RBI govern in Banking and IRDA govern in insurance.
The structure of Mutual funds is given by SEBI. As per the regulations or conditions of SEBI. The mutual funds has three tiers structure.
- Sponsor
- Trustees
- AMC
- Sponsor: The sponsor is known as a promoter of mutual funds. The sponsor of the mutual fund brings in capital and creates a mutual fund trust and set up the AMC for the customer who is investing in the company.
The sponsor should also have 5 years of experience track record in the financial services business and out of the five-year experience the sponsor should also have the three years of growth in a positive direction(profit) to get sponsors in the investing company.
Who is the sponsor? Ans: The sponsor may be a bank, a corporate, or a financial institute and more.
2. Trustees: The sponsor appoints trustees, and also the trustees have to take approval from the SEBI.
What is the work of the Trustee? Ans: the main objective of the trustees of the mutual fund is to hold its property for the benefits of the unit-holders.
The boards act as a protector of unit-holders interests. It appoints a custodian for the safekeeping of assets and closely monitors the assets management company.
3. AMC:
AMC is the face of mutual funds. An AMC is a company that manages a mutual fund. The AMC hires a professional money manager, who buys and sells securities in line with the funds stated objective.
So, AMC essentially collects money from the investing person and makes it as a pool of funds.
- AMC is required to has a net worth of more than 10 crores (present 50 crores).
- AMC has to submit the report to the trustees quarterly and also SEBI for verification of report.
