Tax Management India’s Post

SEBI alters rules to determine market capitalisation of listed firms SEBI has revised the method for calculating the market capitalisation of listed companies. Previously, the applicability of provisions linked to market capitalisation was determined based on a single day’s market cap, calculated on March 31. However, SEBI has now introduced the concept of ‘average market capitalisation’ for a defined period. Under the new rules, compliance ranking will be based on the average market capitalisation from July 1 to December 31, with December 31 as the cut-off date. The new rules will come into effect from December 31, 2024. #LODR #SEBI #SecuritiesLaw #Compliance #CorporateLaw #MCA #CentralGovernment #ICSI #ICAI #ICMAI #CSVasudevaRaoDevaki

SEBI revamps market cap computation basis for LODR compliance: Market regulator SEBI has modified the basis for the computation of market capitalization of listed companies under its LODR regulations. As against an earlier practice of determining the applicability of provisions linked to market capitalisation on a single day’s market cap (currently calculated on March 31), SEBI has now introduced a concept of ‘average market capitalisation’ for a defined period. #sebi #lodr #compliance

Your Essential Handbook on SEBI's Regulatory Framework for the SEBI (Substantial Acquisition of Shares and Takeover) Regulations, covering: ✅ SEBI (Substantial Acquisition of Shares and Takeover) Regulations 2011 ✅ Master Circular for Takeover Regulations ✅ Informal Guidance on Takeover Regulations ✅ Case Laws Look inside the book here: https://lnkd.in/gwBkhqUd Like It? Buy Now with Free Expedited Shipping & Get a Limited Period Discount! https://lnkd.in/gaR5Vuyg #TaxmannBooks #TaxmannUpdates #SEBI #TakeoverRegulations #Shares

SEBI's recent circular, dated March 20, 2024, introduces amendments to disclosure requirements for Foreign Portfolio Investors (FPIs) meeting specific criteria outlined in previous circulars. Key Points: 1. FPIs with over 50% Indian equity AUM in a corporate group are exempt from additional disclosures under certain conditions. 2. Conditions include the absence of identified promoters in the apex company and limitations on equity holdings. 3. Custodians and Depositories will monitor utilization limits and disclose relevant information daily. 4. Prospectively, FPIs exceeding concentration criteria must realign investments or make additional disclosures within a specified timeframe. 5. Compliance with existing circular dated August 24, 2023, remains mandatory. 6. FPIs meeting objective criteria by October 31, 2023, and complying with the current amendment are exempt from penalties. 7. Implementation procedures will be developed by the Custodians and DDPs Standards Setting Forum (CDSSF) in consultation with SEBI. Stay informed, stay compliant with SEBI regulations! #SEBI #FPIs #RegulatoryCompliance #InvestmentDisclosure #SEBICircular #FinancialMarketUpdates #StayInformed #Enterslice

SEBI has released the parameters for undertaking due diligence of investors and investments of AIFs, in relation to specific frameworks along with the due diligence basis the implementation standards formulated by SFA - our thoughts on this. Pallabi Ghosal #DueDiligence #SEBI #AIFRegulations

SEBI tightens its grip on unregulated investment advice   TLDR: SEBI has imposed strict requirements on SEBI-regulated entities, to combat unauthorized investment advice and protect the interests of retail investors.   Here's a breakdown of the key points:   SEBI-regulated entities and their agents can no longer directly or indirectly associate with individuals offering non-SEBI-approved investment advice or recommendations. This includes advice on returns or performance on securities.   Exceptions exist for:   (A) Collaboration with individuals solely focused on investor education (without offering investment advice); and   (B) Interactions on designated digital platforms with SEBI oversight.   The term "indirect association" has a broad scope. SEBI-regulated entities will need to carefully evaluate existing arrangements with individuals who may offer financial advice not in compliance with the extant SEBI regulations. This may require re-examining marketing partnerships, referral programs, or any other form of collaboration.   From a policy standpoint, this is akin to RBI restricting its regulated entities from entering into certain arrangements with unregulated entities (like FLDG). For more details on the SEBI Board Meeting, see the comments below. (Views expressed are personal in nature) #SEBI #InvestmentAdvice #FinancialRegulation #InvestorProtection

Enhancing Transparency: Centralized Fee Collection System for SEBI Intermediaries #SEBI, through its circular SEBI/HO/MIRSD/MIRSD-POD-1/P/CIR/2024/120, has introduced the Centralized Fee Collection Mechanism (CeFCoM) for SEBI-registered intermediaries such as Investment Advisors (IAs) and Research Analysts (RAs). CeFCoM has been established to streamline the fee collection process, allowing registered IAs and RAs to collect fees from their clients via a designated platform/portal managed by a recognized Administration and Supervisory Body (ASB). #BombayStockExchange (BSE) has collaborated in the development of this platform and has been entrusted by #SEBI to outline the operational framework for the mechanism. The framework is expected to be finalized by September 23, 2024, with the platform becoming fully operational on October 1, 2024. Although the use of this mechanism is optional, #SEBI has strongly encouraged the ASB to promote its adoption, in the interest of investors. IAs and RAs are also advised to encourage their clients to use CeFCoM, which will ensure that payments are made solely to registered professionals, providing clients with added transparency. This initiative aims to create a secure and transparent payment ecosystem, benefitting both- the investors and the advisory community. #SEBI #BSE #DigitalIndia #Investorprotection JMJA & Associates LLP CLUe by JMJA

Sebi issues circular to exempt certain FPIs from additional disclosure framework FPIs who has concentrated holdings in one corporate group may be exempted if the apex company of the group has no identifiable promoter and other conditions are met. The market regulator has issued directions to exempt a section of foreign portfolio investors (FPIs) who hold concentrated holdings in one corporate group from the additional disclosure framework issued last August. The regulator's Board had recently, on March 15, given the go-ahead for this amendment. In a circular dated March 20, the Securities and Exchange Board of India (Sebi) stated that an FPI having more than 50 percent of its Indian equity AUM (assets under management) in a corporate group shall not be required to make the additional disclosures as in the circular dated August 24, 2023, subject to compliance with all of the following conditions: 1.The apex company of such corporate group has no identified promoter. For this purpose, the list of corporate groups based on the corporate repository published by the Stock Exchanges and their respective apex companies having no identified promoters shall be made public by Depositories. 2. The FPI holds not more than 50 percent of its Indian equity AUM in the corporate group, after disregarding its holding in the apex company (with no identified promoter). #sebi #companysecretary #companylaw #fdi

📢 Update from SEBI: Relaxation from Compliance with certain provisions of SEBI LODR Regulations, 2015: On October 7, 2023, SEBI announced a relaxation of regulations for Annual General Meetings (AGMs) and electronic general meetings, extending compliance deadlines until September 30, 2024. This follows the MCA's earlier relaxations. Recently, the MCA extended the exemption from sending physical copies of financial statements to shareholders for AGMs until September 30, 2025. Consequently, SEBI has now aligned its relaxations to also extend until September 30, 2025. Listed entities must continue to adhere to specific compliance conditions outlined in the Master Circular dated July 11, 2023, while benefiting from these relaxations. For more details, refer to the latest circular. #SEBI #CorporateGovernance #AGM #RegulatoryUpdate

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