Page 40 - Sebi Norms

Sebi clarifies on applicability of AIFs and portfolio manager rules

Investment managers of an AIF (alternative investment fund) can provide investment management services to the offshore fund only by getting registered as portfolio managers, according to Sebi.

'Be careful': Sebi lets off Tata Motors with warning in 18-year old case

Sebi has let off Tata Motors with a warning to be "more careful" in its future dealings in the securities market, saying any orders passed at this stage may not practically serve any purpose

Sebi revokes order against Poonawalla Finance MD & CEO Abhay Bhutada

Proceedings against other entities to continue

Sebi strengthens investor grievance redressal mechanism through framework

Capital markets regulator Sebi on Friday came out with a new framework for investor grievance redressal mechanism as part of its effort to strengthen the process. The new mechanism will come into effect from July 1, the Securities and Exchange Board of India (Sebi) said in a circular. For any dispute between the member and client relating to the transactions in a stock exchange, which is of civil nature, the complainant or member is required to first refer the complaint to the investor grievance redressal mechanism (IGRC) and/or to the arbitration mechanism provided by the bourse before resorting to other remedies available under any other law, Sebi said. For the removal of doubts, the regulator has clarified that the sole arbitrator or the panel of arbitrators appointed under the stock exchange arbitration mechanism may consider any claim relating to any dispute between a stockbroker and client, arising out of the transactions in a stock exchange, and shall always be deemed to have

Principal MF ceases to exist as mutual fund from June 2, says Sebi

Capital markets regulator Sebi on Thursday said Principal Mutual Fund (PMF) now ceases to exist as a mutual fund. This comes after Asset Management Private Limited (Principal AMC) had informed Sebi that it wanted to surrender the registration granted to PMF by the regulator. Following this, Sebi accepted the request for surrender of certificate of registration of PMF. "Consequently, PMF ceases to exist as a mutual fund with effect from June 2, 2022," the Securities and Exchange Board of India (Sebi) said in a statement. It further said PMF will continue to be liable for all liabilities, including monetary penalties, violations, if any, of the provisions of Sebi Act and mutual fund rules that have taken place before its surrender of certificate of registration. In January 2021, Sundaram Asset Management Company announced acquiring smaller rival Principal Asset Management for an undisclosed sum. Principal had over Rs 7,447 crore in assets under management as on December 2020, with

IPO subscriptions: Process only money-backed ASBA applications, says Sebi

Latest directive follows instances during LIC's IPO where certain applications had to be cancelled as they didn't have sufficient funds in bank accounts

Confusing Sebi rules

Any buy/sell advice, including a model portfolio, should be the domain of research analysts while holistic financial planning and asset allocation should be that of investment advisors

Sebi brings new format for security cover certificate, revises timeline

Sebi has revised timelines of submission of security cover certificate, valuation report and quarterly compliance report, and regulatory compliance by debenture trustees

Sebi withdraws permanent recognition granted to Indian Commodity Exchange

Markets regulator Sebi on Thursday said it has withdrawn the recognition granted to the Indian Commodity Exchange Limited (ICEX). "The Securities and Exchange Board of India has withdrawn the recognition granted to the Indian Commodity Exchange Limited, vide notification dated May 18, 2022," according to a press release issued by the regulator. The withdrawal of recognition follows an order passed by Sebi on May 10 after finding the bourse non-compliant on several grounds like net worth and infrastructural requirements. Consequent to the withdrawal, ICEX has been directed to transfer the money available in the Investor Protection Fund and Investor Services Fund of ICEX to Sebi's Investor Protection and Education Fund. Besides, it has been asked to set aside sufficient funds to provide for settlement of any claims, clear the dues outstanding to Sebi and pay Sebi registration fees as per brokers' norm by its trading members. Further, ICEX has been directed to refrain from using th

Sebi levies Rs 66 lakh fine on 11 entities for flouting market norms

Capital markets regulator Sebi on Wednesday imposed a total penalty of Rs 66 lakh on 10 entities, including Jalan Cement Works Ltd, in a case related to misrepresentation in the company's details.

Sebi notifies rules in order to strengthen regulatory framework for CIS

To strengthen the regulatory framework for collective investment schemes, markets regulator Sebi has enhanced the net worth criteria and track record requirements for entities managing such schemes. Also, the regulator has mandated a minimum of 20 investors and a subscription amount of at least Rs 20 crore for each Collective Investment Scheme (CIS), according to a notification on Tuesday. Currently, CIS rules do not mandate minimum number of investors, maximum holding of a single investor or minimum subscription amount. In addition, the regulator has put a cap on cross-shareholding in Collective Investment Management Company (CIMC) to 10 per cent to avoid conflict of interest . To give this effect, the Securities and Exchange Board of India (Sebi) has amended CIS regulations. The rules, first notified in 1999, have not been reviewed since then. The move comes after the board of Sebi approved a proposal in this regard in its board meeting in March. The new rule is aimed at ...

Sebi issues norms to calculate margin requirements for intra-day snapshots

Sebi clarified that the change is only for the purpose of verification of upfront collection of margins from clients

Sebi slaps Rs 14 lakh fine on Panyam Cement and Mineral Industries

The fine has been levied for violating several provisions of LODR (Listing Obligations and Disclosure Requirements) rules

Sebi issues operational guidelines for covenant monitoring with DLT

For data exchange and verification across depositories, format for unique asset ID would be a 12-digit alphanumeric string

Sebi gives more time to market intermediaries to comply with rules

The regulator has given relaxation in time period for certain activities, including handling investor grievances and SCORES complaint and processing of demat requests

What is red herring prospectus?

Markets are awaiting the IPO of Life Insurance Corporation of India. Even before it hits the primary market, LIC filed a draft red herring prospectus (DRHP) with the SEBI. Find out more about this doc

Sebi pushes timeline to segregate and monitor collateral at client level

Sebi further defers new margin rule to May 2

Sebi comes out with new disclosure format for abridged prospectus

Under the rules, every application form for the purchase of any securities of a company needs to be accompanied by an abridged prospectus

Sebi extends timeline to submit public comments till Feb 15 on CIS rules

Markets regulator Sebi extended the deadline for submitting public comments till February 15 on a proposal to strengthen the regulatory framework for collective investment schemes (CIS).

Nine entities settle case of alleged AIF rules violations with Sebi

The adjudication proceedings initiated against the nine entities under the show cause notice issued in March 2021 have been disposed of, Sebi said