Sona-Chandi-teaser-1

July 13, 2020

Ever since we launched Sona Chandi, we have been flooded with questions related to the contest. We are happy to see the interest the contest has created among our colleagues. So to help all participants, we have collected all the frequently asked questions (FAQs) on Sona Chandi and compiled them in a single mailer. This one. Save it.

Q: What are the certification criteria for the Sona Chandi contest?
A: You need to have a valid NISM certificate and a valid EUIN mapped under Sharekhan’s ARN code 20669 during the contest period in order to be eligible to participate in Sona Chandi.
Q I have a valid NISM certificate but not EUIN, will I still be eligible?
A: No, you need to have both NISM and EUIN mapping in place to be eligible for the contest.
Q What if my NISM is complete but EUIN process has not been initiated?
A: If you have completed your documentation but the process is pending due to the lockdown, we will review the status on a case-to-case basis subject to the CTCL team verifying your documentation as being complete.
Q What if my NISM and EUIN are both complete but expiring during contest period?
A: The validity of NISM and EUIN that expire between March 15 and September 29 (or on a future date based on future developments or directions of the government) will be extended till September 30, 2020 for the purpose of the contest.

Please refer below the notification from NISM:
Validity of NISM certificates of certificate holders, who could not appear or attend or enroll for certification examinations or CPE programmes or e CPE programmes and as such, could not renew / are not in a position to renew their certificates, during March 15, 2020 to September 29, 2020 (or time period based on future developments / the Government directions), validity of their certificates shall be extended till September 30, 2020.

You may send your queries on certification@nism.ac.in / cpe@nism.ac.in as the case may be. As NISM offices are closed as per the Government directive, you may experience delayed responses for your queries.
Q Where can I find the scheme information?
A: The Funds We Like and the Mutual Fund Finder are the two sources where scheme information is available. These two reports are shared on a monthly basis. The Funds We Like is also available on the Sharekhan website and mobile application under the “Funds We Like” section.
Q How will the scheme credit be assigned?
A: Scheme credit will be given as per the equalisation credit communicated during the contest period. Please refer to the Funds We Like for scheme-wise/category-wise details.
Q What is equalisation?
A: The process of adjusting a mutual fund transaction amount to the sales credit as per the pre-defined weightages in each asset category is termed as equalisation.
Q What is Gross Equalised Sales?
A: This is the total amount collected from customers during a period after adjusting the amount for weightage as per the asset category in which the money is sourced.

An illustration of gross equalised sales:

Transaction Date Transaction Type Scheme Name MF Category Equalisation Amount  (in Rs.) Equalised Amount (Rs.)
01-Jul-20 Purchase BNP Paribas Large Cap Fund Large Cap 120% 1,00,000.00 1,20,000.00
21-Jul-20 Switch-In Axis Small Cap Fund Small Cap 120% 4,51,161.12 5,41,393.34
Total Gross Equalised Sales 661,393.34
Q What is Net Equalised Sales?
A: This is the net amount collected from customers during a period after accounting for the outflows, such as redemptions and switch-outs after adjusting the weightage as per asset category in which the money is sourced and redeemed.

An illustration of net equalised sales:

Transaction Date Transaction Type Scheme Name MF Category Equalisation Amount  (in Rs.) Equalised Amount (Rs.)
01-Jul-20 Purchase BNP Paribas Large Cap Fund Large Cap 120% 1,00,000.00 1,20,000.00
05-Jul-20 Redemption HDFC Top 100 Fund Large Cap 100% 55,521.19 (-) 55,521.19
21-Jul-20 Switch-In Axis Small Cap Fund Small Cap 120% 4,51,161.12 5,41,393.34
21-Jul-20 Switch-Out Axis Ultra Short Term Ultra Short Duration 5% 4,51,161.12 (-) 22,558.06
Net Equalised Sales 583,314.10
Q How can I calculate this on my own?
A: You may calculate your business for the month by using the latest Net Sales Calculator this was a part of the contest communication and also the can be found in the list of enablers shared by the Investment Solutions team every month.
Q What is incremental SIP flow and how is it calculated?
A: This refers to the net amount of installments received during a period after adjusting for the cancellations and expiries of the existing SIPs during the period.

Illustration:

Date Transaction Transaction Amount (Rs.) SIP Flow Balance Incremental SIP Flow
01-Jul-20 100 clients mapped with existing SIP of Rs.5,000 each 5,00,000 5,00,000 -
During the month 20 mapped clients added with SIP of Rs.10,000 each 2,00,000 7,00,000 -
  5 existing clients with SIP of Rs.5,000 each cancelled their SIP 25,000 6,75,000 -
  10 SIP of Rs.5,000 from existing client expired during the month 50,000 6,25,000 -
31-Jul-20 Incremental SIP Flow     1,25,000
Q Where can I find my targets?
A: You will find your targets in the various MIS communications you have received from us from the e-mail ID mis.investmentsolutions@sharekhan.com during this calendar year or will receive in the upcoming contest MIS communications.

For the contest, the targets are as below:

Branch Network: eligibility target is 50% of Gross Equalised Sales Lump Sum.
Investment Specialists Network: eligibility target is 50% of Net Equalised Sales Lump Sum (ToDo book target) (NES LS is 75% of the given GES LS Target. For example, if an IS has Rs.1 crore GES LS ToDo target, Rs.75 lakh is the 100% NES LS target, hence the eligibility target is Rs.37.5 lakh.)
Q How frequently will the contest MIS get generated?
A: The contest MIS will be generated every 15 days from the launch of contest date.
Q Is there a list of specific funds that need to be mobilised during the contest period?
A: No, you may sell any or all funds, but the business credit percentage will vary as per the equalisation of the fund. Please refer the Funds We Like or Net Sales Calculator for scheme-wise/category-wise details.
Q Will the target and achievement be judged month on month or is it cumulative for six months?
A: It is cumulative for the next six months.
Q Will ARN transfer be considered for the contest?
A: Yes, ARN transfer in and out will be considered as positive GES LS and NES LS in case of ARN transfer in and negative GES LS and NES LS in case of transfer out.
Q Will offline transactions be considered?
A: Offline transactions of non-Sharekhan clients will not be considered for the contest. However, offline transactions of the existing Sharekhan clients will be considered.
Q Can I get reward for categories 1 and 2 both?
A: Yes, you can, provided you are eligible and qualify in both categories.
Q Does the target vary as per location/category of the branch?
A: The target was floated at the start of the year and is a part of each MIS sent to you. There is no change in the given target.
Q How do I get the credit? What is the sharing between roles and how will it be calculated?
A: The branch network resources will get credit for the business mobilised for the clients mapped to them as per their DPMS mapping and the Investment Specialist network resources will get credit for the business mobilised for the clients mapped to them as per their ToDo mapping. Credit sharing will be 100%.
Q Will the focus funds and recommended fund list change during the contest period? How will we know about the same?
A: The Focus list and the Mutual Fund Finder list are expected to remain stable over the medium term (ie three to six months). However, these are subject to monthly review and changes. The updated lists are usually shared on the first of every month by the Investment Solutions team from the investmentsolutions@sharekhan.com e-mail ID and the Mutual Fund Research team from the fundamental.research@sharekhan.com e-mail ID.
Published by Team Internal Communications
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