According to Sebi's settlement order, there were several alleged violations of the FPI regulations and intermediary regulations
No immediate relief expected amid shrinking US-India bond yield spread, subdued earnings
Move to open the door for higher exposure in startups, mid-size firms
Proposes to raise net worth criteria for the first time in nearly three decades
Avoids sharp depreciation on RBI's intervention
The Reserve Bank of India on Monday issued an operational framework for reclassification of investment made by a foreign portfolio investor to foreign direct investment (FDI) if the entity breaches the prescribed limit. Currently, an investment made by foreign portfolio investor along with its investor group (FPI) should be less than 10 per cent of the total paid-up equity capital on a fully diluted basis. Any FPI investing in breach of the prescribed limit has the option of divesting their holdings or reclassifying such holdings as FDI subject to the conditions specified by the RBI and Sebi within five trading days from the date of settlement of the trades causing the breach. The RBI has issued an operational framework for reclassification of foreign portfolio investment by FPI to FDI. As per the framework, the FPI concerned will have to take necessary approvals from the government and concurrence of the Indian investee company concerned. However, the facility of reclassification
From peak of Rs 22K crore, the downward slope begins
Benchmark indices nosedive 2% - most in a month - before recouping half the losses; FPI selling, earnings disappointment, elevated US yields also weigh
The ongoing US elections have been a contributory factor to FPI selling through October and November. Apart from that, some FPIs are fence-sitting for outcome of the Federal Reserve meeting this week
If trend holds, this will be first monthly outflows of over $10 bn
The velocity of the selling was so high that barely any sector was spared. However, metals and utilities still managed marginal inflows
Global headwinds and FPIs outflows outweighed the positive sentiment triggered by RBI signalling rate cut in its next meeting
FPIs sold shares worth nearly Rs 8,300 crore, extending their month-to-date selling to almost Rs 40,000 crore
The cell is tasked with providing guidance at the pre-application stage, including documentation and compliance processes, and offering support during the onboarding phase by resolving any operational
To ease onboarding for FPIs and reduce duplication of information, Sebi on Tuesday proposed an abridged version of Common Application Form (CAF) that only requires information unique to the applicant. Further, the rest of the information will be auto-filled from the depository's records or certain fields will be disabled if not needed. Also, the applicants will need to confirm that the previously provided information remains unchanged, Sebi proposed in its consultation paper. The regulator observed that in case of certain categories of Foreign Portfolio Investor (FPI) applicants like multiple funds under an Investment Manager (IM), sub-funds of a master fund, or schemes of insurance companies, much of their relevant information is already captured in depositories' CAF module, which can be leveraged without seeking the same from said applicants. Further, there are certain fields which are exclusive to individual FPI applicants and hence will not be applicable to the applicants ...
FPI flows had slumped in the first two quarters (March and June) of calendar 2024 after pumping Rs 53,036 crore in the December 2023 quarter
Industry participants note that while there is interest from NRIs and investors, some are reluctant to provide PAN and know-your-customer (KYC) details
The investment in FAR securities had exceeded Rs 1 trillion on October 16, 2023
Mandates disclosure of beneficial ownership, allocates registration and monitoring responsibility to DDPs
Foreign portfolio investors sold shares worth Rs 621 crore, while domestic institutions pumped in Rs 2,121 crore