SEBI Board Meet: SEBI, the regulator of the stock market, has given great relief to the investors investing in IPOs. Companies bringing IPO will now have to get the IPO listed on the stock exchange only three days after the closure of the issue. This decision has been taken in the board meeting of SEBI. This decision of SEBI will speed up the process of listing of IPOs. Along with this, the investors who will not get share allotment on application in IPO will get their money back soon.
SEBI Chairperson Madhabi Puri Buch has informed about the decisions taken in the board meeting. SEBI has also taken a big decision regarding foreign portfolio investors. SEBI has tightened the disclosure norms for foreign portfolio investors. Now such offshore funds that make 50 per cent of their total investment in a single corporate group will have to disclose the names of all their investors. It is believed that SEBI has made this new rule for FPI keeping in mind the report issued regarding the shares of Hindenburg’s Adani Group.
Such foreign portfolio investors who invest more than Rs 25000 crore in the equity market of India will have to disclose the names of all their investors. SEBI has allowed Voluntary Delisting of Non Convertible Debentures (NCD). SEBI has also announced relaxation in the listing norms of debt securities.
Although SEBI has not changed the fee structure of mutual funds i.e. there is no change in the total expense ratio. It was expected that SEBI would restructure it along with reducing the fees charged on investing in mutual funds. No decision could be taken on this in today’s board meeting.
