Stepping up its crackdown on money laundering and round-tripping, SEBI recently came out with a detailed framework for risk-based Know Your Customer (KYC) documentation of foreign portfolio investors (FPIs).
Among other things, the market regulator made it clear that non-resident Indians (NRIs), overseas citizens of India (OCI) and resident Indians cannot be beneficial owners of FPIs. NRIs and OCIs can only obtain an FPI licence on condition that they limit their roles to investment advisors and do not invest their money. Sebi further sought a comprehensive list of beneficial owners from the existing FPIs within six months.
Source- Business Standard
Static/Current Takeaways Important for NABARD Grade-A Exam 2018-
- SEBI- Securities and Exchange Board of India.
- SEBI Chairman- Ajay Tyagi, Headquarters- Mumbai.