The market regulator said any FPI that does not divulge its beneficial ownership will lose its registered status which will leave the FPI with no option but to liquidate its holdings and surrender registration by March 31, 2024
The new regulations, which have come into effect today, replaces the existing Sebi regulations for Foreign Institutional Investors (FIIs) and the new class of investors, FPIs, would encompass all FIIs, their sub-accounts and Qualified Foreign Investors (QFIs).
The new norms provide an operational framework for foreign portfolio investors (FPIs), a new class of overseas investors that club all existing class of investors like Foreign Institutional Investors (FIIs) and Qualified Foreign Investors (QFIs).