𝐒𝐢𝐦𝐩𝐥𝐢𝐟𝐢𝐞𝐝 𝐫𝐞𝐠𝐢𝐬𝐭𝐫𝐚𝐭𝐢𝐨𝐧 𝐟𝐨𝐫 𝐅𝐨𝐫𝐞𝐢𝐠𝐧 𝐏𝐨𝐫𝐭𝐟𝐨𝐥𝐢𝐨 𝐈𝐧𝐯𝐞𝐬𝐭𝐨𝐫𝐬 (𝐅𝐏𝐈𝐬)

The Securities and Exchange Board of India (SEBI) has introduced a simplified registration process for certain categories of Foreign Portfolio Investors (FPIs). This new initiative, effective from February 13, 2025 allows eligible FPIs to complete an abridged version of the Common Application Form (CAF) (𝘢 𝘷𝘦𝘳𝘴𝘪𝘰𝘯 𝘰𝘧 𝘊𝘈𝘍 𝘸𝘩𝘦𝘳𝘦 𝘢𝘱𝘱𝘭𝘪𝘤𝘢𝘯𝘵𝘴 𝘧𝘪𝘭𝘭 𝘰𝘯𝘭𝘺 𝘵𝘩𝘰𝘴𝘦 𝘧𝘪𝘦𝘭𝘥𝘴 𝘵𝘩𝘢𝘵 𝘢𝘳𝘦 𝘶𝘯𝘪𝘲𝘶𝘦 𝘵𝘰 𝘵𝘩𝘦𝘮), reducing redundancy and enhance efficiency. The primary aim is to simplify the onboarding process for FPIs and minimize repetitive submissions of available information.

Eligible FPIs are:

i) fund(s) operated by investing/non-investing IM, wherein such IM or any fund operated by IM, is already registered as FPI;

ii) sub-fund(s) of a master fund, wherein such master fund or any sub-fund of such master fund, is already registered as FPI;

iii) sub-fund(s) or separate class(es) of shares or equivalent structure(s) with segregated portfolio of a fund, wherein such fund or any of its sub-fund or separate class of shares or equivalent structure with segregated portfolio, is already registered as FPI;

iv) scheme(s) of insurance companies wherein the parent entity or any scheme of insurance company is already registered as FPI.

Key Highlights:

(a) 𝐒𝐭𝐫𝐞𝐚𝐦𝐥𝐢𝐧𝐞𝐝 𝐏𝐫𝐨𝐜𝐞𝐬𝐬: Applicants from the above categories can now opt to fill only unique fields in the CAF.

(b) 𝐀𝐮𝐭𝐨-𝐏𝐨𝐩𝐮𝐥𝐚𝐭𝐞𝐝 𝐃𝐚𝐭𝐚: For eligible applicants, previously submitted information will be auto-populated, minimizing duplication.

(c) 𝐄𝐧𝐡𝐚𝐧𝐜𝐞𝐝 𝐄𝐟𝐟𝐢𝐜𝐢𝐞𝐧𝐜𝐲: Designated Depository Participants (DDPs) will ensure all information is accurately reflected, promoting a smoother onboarding experience.

With this step, SEBI is actively enhancing the ease of doing business in India’s capital markets, promoting investor accessibility, and improving regulatory efficiency.

A copy of the circular is attached.

Regulatory law enthusiasts are encouraged to share their views with Regstreet Law Advisors at info@regstreetlaw.com.

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