SME Times News Bureau | 21 Aug, 2019
Market regulator Sebi on Wednesday eased the rules for foreign portfolio
investors (FPI) doing away with the broad-based eligibility criteria
for FPIs and announced that the registration for the multiple investment
manager structure would be simplified.
Proposing the new
regulations for FPIs, Sebi Chairman Ajay Tyagi said that central banks
of other countries are now also eligible to be FPIs. These would now be
permitted to transfer unlisted illiquid shares off market.
The
Securities and Exchanges Board of India (SEBI) in its board meet on
Wednesday also decided to allow offshore funds of Indian mutual funds
(MFs) to invest as FPIs.
Besides, the FPIs will now be
categorised into two classes, cutting down from the current three
categories. The board also amended regulations concerning credit rating
agencies.
Tyagi said the regulator is examining the possibility of allowing MFs to join inter-creditor arrangements.
Sebi, on Wednesday, also approved changes to the norms prohibiting insider trading.
