Sebi tweaks certification requirement for AIF investment manager — MintGenie explains new rules
Markets regulator Securities and Exchange Board of India (Sebi) has recently tweaked regulations, making it mandatory for at least one key personnel within the investment team of the manager of an Alternative Investment Fund (AIF) to have the relevant certification.
As per a Sebi circular dated May 13, the investment team of the manager of an AIF should have at least one key personnel with relevant certification from the National Institute of Securities Market (NISM). This is an eligibility criterion for obtaining certification of registration as an AIF.
The certification mentioned in the circular refers to the one given by the NISM by passing the NISM Series-XIX-C, i.e., the Alternative Investment Fund Managers Certification Examination.
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The requirement needs to be complied with on or before May 9, 2025, for a) existing schemes of AIFs, schemes of AIFs, and b) schemes of AIFs whose application for launch of scheme pending with Sebi as on May 10, 2024.
The provisions of this circular came into effect on May 10, 2024.
Risk management framework at KRAs
Sebi released another circular on Tuesday specifying the risk management framework at KRAs (KYC Registration Agencies).
The circular noted that it was done based on the feedback received from the stakeholders in the securities market. The provisions of the master circular dated October 12, 2023, have been reviewed, and it has been decided to simplify the risk management framework, Sebi stated.
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The circular mentions that as a part of the risk management framework, the KRAs shall verify the following attributes of records of all clients within two days of receipt of KYC records:
1. PAN
2. Name
3. Address
It also mentioned that the exchanges/ depositories/ intermediaries concerned will complete the necessary technical change in their systems by May 31, 2024.
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Published: 14 May 2024, 09:07 PM IST
Ganesh
http://ganesh@finplay.inFinance enthusiast, Mutual fund expert.