The Association of Mutual Funds in India praised recent regulatory modifications announced by the Securities and Exchange Board of India. These changes streamline procedures for initial public offerings and foreign portfolio investors. AMFI Chief Executive Venkat N Chalasani emphasized the reforms support financial inclusion goals. The modifications expand mutual fund access beyond major metropolitan areas and target women investors. Exit load caps dropped from five percent to three percent.
Real estate investment trusts receive equity classification for mutual fund investments under the revised framework. Large companies with market capitalizations between Rs 50,000 crore and Rs 1 lakh crore gain extended compliance periods. These firms must achieve 15 percent minimum public shareholding within five years and 25 percent within ten years. Previous regulations required 25 percent compliance within three years. Alternative investment funds for accredited investors received approval with reduced minimum investments from Rs 70 crore to Rs 25 crore.
Real estate investment trusts receive equity classification for mutual fund investments under the revised framework. Large companies with market capitalizations between Rs 50,000 crore and Rs 1 lakh crore gain extended compliance periods. These firms must achieve 15 percent minimum public shareholding within five years and 25 percent within ten years. Previous regulations required 25 percent compliance within three years. Alternative investment funds for accredited investors received approval with reduced minimum investments from Rs 70 crore to Rs 25 crore.
