The market regulator, SEBI has notified SEBI (Foreign Portfolio Investors) Regulations, 2019 wherein various provisions related to registration, approval of designated depository participant, inspection have been discussed. SEBI has simplified KYC requirements for foreign portfolio investors and allowed them to carry out off-market transfer of securities.
The notification comes after the board of SEBI approved a proposal to simplify the regulatory norms for FPIs in August.
Now, FPIs would be classified into two categories instead of three.
The new FPI regulations would come into force with immediate effect.