New rules for foreign investors.... Market regulator Sebi will soon notify new rules to make it easier for foreign entities to invest in Indian markets . Under the new rules, which are likely to be announced in next few days, Sebi is creating a new class of investors -- to be called Foreign Portfolio Investors (FPIs). Sebi is merging different classes of investors such as FIIs, their Sub Accounts and Qualified Foreign Investors (QFIs) into a new category which is named FPIs. The FPIs would be categorized into three categories -- low-risk (for multi-lateral agencies, government and other sovereign entities), moderate risk (for banks, asset management companies, investment trusts, insurers, pension funds and university funds) and high-risk (all the FPIs not included in the first two categories). The third-category FPIs would not be allowed to issue Participatory Notes. As per the new regulations, any investment beyond the threshold of 10 per cent of the equity of an Indian company shall be considered as Foreign Direct Investment (FDI).
Posted on: Thu, 12 Sep 2013 15:21:31 +0000
Trending Topics
Recently Viewed Topics
© 2015