The key amendments include enhancement of net-worth criteria and requirement of having track record in relevant field as an eligibility requirement for registration as a collective investment management company.
The decision was taken at a board meeting of the market regulator. The tweaked rule will now fully come into force from April 1, 2022 after multiple delays.
CNBC-TV18's Manasvi Ghelani reports that the mutual fund sector has started the process for the selection of SROs to meet the Sebi deadline of July 31, 2013.
In an exclusive to CNBC-TV18, sources say the Sebi board may announce rules for angel funds on June 25.
Reacting to the announcements made by the Sebi board after its meeting on Saturday evening, corporate tax lawyers HP Ranina, Prithvi Haldea and former executive director at Sebi Sandeep Parekh explain to CNBC-TV18 the various aspects of the announcements and the probable impact on foreign investment and the markets.
The Sebi board also decided that the currency derivative segment would have self-clearing members and they would be required to have networth of Rs 5 crore.