Capital markets regulator Sebi on Thursday came out with guidelines for Alternative Investment Funds (AIFs) for declaring the first close of a scheme.
Also, the regulator has specified the manner of calculating the tenure of a close-ended scheme of an AIF and prescribed a fee for change in control of the manager or sponsor.
The new guidelines would come into force with immediate effect, the Securities and Exchange Board of India (Sebi) said in a circular.
With regard to the first close of schemes of AIFs, Sebi said that the first close of a scheme is required to be declared not later than 12 months from the date of the capital markets regulator’s communication for taking the Private Placement Memorandum (PPM) of the scheme on record.
In the case of open-ended schemes of Category III AIFs, the first close would refer to the close of their Initial Offer Period.
“Corpus of the scheme at the time of declaring its first close shall not be less than the minimum corpus prescribed in AIF
| Subscribe To Our Free Newsletter |
