More Time
SEBI gives FPIs 6 months more to comply with new overseas F&O instrument norms
This story was originally published at 18:52 IST on 16 May 2025
Register to read our real-time news.Informist, Friday, May 16, 2025
NEW DELHI – The Securities and Exchange Board of India has extended the deadline for foreign portfolio investors to adhere to new stringent rules and disclosures on the issue of overseas derivatives instruments to Nov. 17 from Saturday, it said in a circular Friday. The market regulator had issued the circular tightening the rules for FPIs on Dec. 17 and had given five months for compliance.
The market regulator said it had received representations from FPIs and other market participants which apparently sought more time to comply with the new rules. SEBI said it had decided to extend the deadline so that there can be a "smooth implementation" of the changes made in the Dec. 17 circular.
A key change by SEBI was in getting a FPI wanting to issue overseas derivatives instruments to do so only through separate dedicated FPI registration with no proprietary investments. Foreign portfolio investors were prohibited from having derivatives as the underlying or reference in any overseas derivatives instruments issued by them.
The Dec. 17 circular had also mandated additional disclosures by select subscribers to the overseas derivatives instruments issued by FPIs. The market regulator had instructed FPIs issuing overseas derivatives instruments to collect from the subscribers granular details of all entities holding any ownership, economic interest, or exercising control in the subscriber on a full look through basis up to the level of all natural persons. The circular had also laid out several other conditions and requirements for FPIs. End
Reported by Rajesh Gajra
Edited by Deepsikha Bhardwaj
For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.
Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd by NSE Data & Analytics Ltd, a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt Ltd.
Informist Media Tel +91 (11) 4220-1000
Send comments to feedback@informistmedia.com
© Informist Media Pvt. Ltd. 2025. All rights reserved.
To read more please subscribe
Share this Story:
