A sponsor is a person or a body corporate who sets up a public trust, appoints trustees (with SEBI’s approval) to manage the trust and create an AMC.

1. The sponsor brings in capital and sets up the AMC.
2. He should have a sound working record and good reputation in the market.
3. Sponsor should be having an experience of 5 years having positive net worth.
4. The sponsor should be having profits in his name in 3 years out of previous 5 years.
5. The sponsor should have a minimum of 40% of the share holding in the capital of the AMC.
   Trustee
6. To ensure proper working and compliance with all the major regulations and protects the very important interest of the units holders.
7. A person who is convicted of any fraud or economic offence and violation of any securities law cannot be appointed the trustee. ‘
8. The sponsor will be required to appoint at least 4 trustees.
9. General and Special Due Diligence is part of the duties of a trustee