- SEBI vide its Circular dated 26th September, 2022 made modification in the Operational Guidelines for FPIs, DDPs and EFIs pertaining to FPIs registered under Multiple Investment Managers (MIM) structure. SEBI on 05th November, 2019 had issued Operational Guidelines for FPIs, DDPs and EFIs (hereinafter referred to as OG) under the SEBI (Foreign Portfolio Investors), Regulations 2019.
| Sr. No. | Part/Chapter/Section /Sub-section(s) | New guidelines (SEBI Circular dated 26th September, 2022) | Old guidelines | Comment |
| 1. | Replaced clause (i) of Para 4 of Part A of the Operational Guidelines | “Where an entity engages multiple investment managers (MIM) for managing its investments, the entity can obtain multiple FPI registrations mentioning name of Investment Manager for each such registration. Such applicants can appoint different DDPs for each such registration. Investments made under such multiple registrations shall be clubbed for the purposes of monitoring of investment limits” | Where an entity engages multiple investment managers (MIM) for managing its investments, the entity can obtain multiple FPI registrations mentioning name of Investment Manager for each such registration. There should be external investment managers in case of MIM structures and such applicants can appoint different DDPs for each such registration. Investments made under such multiple registrations shall be clubbed for the purposes of monitoring of investment limits. | Due to this amendment, the requirement which previously was for entities who wants to obtain multiple FPI registrations mentioning name of Investment Manager for each such registration to have external investment managers in case of MIM structures have been removed. |
- This circular shall be applicable to all Foreign Portfolio Investors, Custodians and Designated Depository Participants, Depositories, recognized Stock Exchanges and Clearing Corporations in International Financial Services Centres, recognized Stock Exchanges/ Clearing Corporations.
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