SEBI’s FPI committee likely to review following matters

1] Holding Rule of 10 percent
a) As per the extant regulations, the purchase of equity shares of each company by a single foreign portfolio investor including its investor group shall be below 10 per cent of the total paid-up equity capital on a fully diluted basis of the company

b) If the holdings exceed the threshold of below 10 per cent, FPI will be required to divest the excess holdings within 5 trading days from the date of settlement of the trades resulting in the breach. If not, the same will be considered as Foreign Direct Investment

c) A possibility of relooking at this regulation was discussed by SEBI in its recent meeting

2] Block deals rules e.g. if price range of + / – 1 per cent of previous day’s closing can be increased

3] Simplification of KYC regime and onboarding of FPIs

4] Suggestions on India’s inclusion in a global bond index

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