SEBI allows mutual fund houses to hold debt papers issued by their group companies until maturity
Dec 13 2019
News Category: Industry Update
The Securities & Exchange Board of India has allowed mutual fund houses to hold debt papers issued by their group companies until maturity. According to the circular, the investments of mutual fund schemes in debt and money market instruments of group companies of both the sponsor and the Asset Management Company (AMC), in excess of the limits specified therein, made on or before Oct 1, 2019 may be grandfathered till maturity date of such instruments. The maturity date of such instruments shall be as applicable on October 1, 2019. Additionally, the AMCs shall publish on their respective website a list of their group companies and those of their sponsor(s).