Public Comments received on Consultation Paper on the Review of IFSCA (Fund Management) Regulations, 2022
In response to the Consultation Paper on the Review of IFSCA (Fund Management) Regulations, 2022, issued by the International Financial Services Centres Authority (IFSCA) on August 5, 2024, several public comments and suggestions were received. These insights came from various fund management entities (FMEs) and professionals operating within India’s International Financial Services Centre (IFSC), primarily GIFT City. The feedback, which spans regulatory clarifications, suggestions for improving compliance flexibility, and proposals for enhanced operational efficiency, touches on key aspects of fund management operations in the IFSC.
New process for making SEBI rules
One of the most notable features of SEBI’s new regulations is the emphasis on public consultation. This is in line with SEBI’s broader goal of making its regulatory processes more transparent. Under the new rules, before any regulation is finalized, SEBI is required to publish the draft proposal on its official website, inviting comments from the public.
SEBI issues Most Important Terms and Conditions (MITC) for Research Analysts and investment advisors
SEBI has issued Most Important Terms and Conditions (MITC) for Research Analysts and investment advisors. the same shall be standardized by Industry Standards Forum (‘ISF’) in consultation with RAASB and SEBI.
Asset management companies to invest in mutual funds
SEBI has issued Securities and Exchange Board of India (Mutual Funds) (Amendment) Regulations, 2025. They shall come into force with effect from April 1, 2025. The asset management companies shall invest a percentage of the remuneration of such employees as specified by the Board in units of mutual fund schemes based on the designation or roles of the designated employees in the manner as may be specified by the Board.
Unauthorised transactions in trading account: SEBI proposes new preventive measures
For investors, the primary benefit of these new measures is the creation of a secure trading environment. With the combination of hard-binding SIM devices, biometric authentication, and enhanced verification procedures, the risk of unauthorized transactions and fraudulent activities will be significantly reduced. The security features are designed to ensure that only the rightful account holder can access and execute trades, even if the investor’s mobile device is lost or stolen.
Digital Brand Identity Manual
The DBIM defines key elements of a consistent digital identity, including visual identities such as logos, color palettes, typography, and imagery, as well as verbal identities like brand voice, messaging frameworks, and taglines. These guidelines aim to enhance citizen engagement and improve the overall user experience in service delivery.
New conditions for Network Authorizations: TRAI framework
Based on the comments received from stakeholders in the consultation process and on its own analysis, TRAI has finalized Recommendations on the Terms and Conditions of Network Authorisation to be Granted Under the Telecommunications Act, 2023. These recommendations are aimed at fostering growth and enhancing ease of doing business in the telecom sector. Through these recommendations, the Authority has recommended a network authorisation framework, apart from detailed terms and conditions for various network authorisations to be granted under the Telecommunications Act, 2023.
New name for Ombudsman Scheme
It is hereby brought to the notice of all concerned that the Reserve Bank of India has now replaced the word ‘लोकपाल’ with the word ‘ओम्बड्समैन’ in the Hindi version of ‘Reserve Bank-Integrated Ombudsman Scheme (RB-IOS), 2021’.
Fair treatment of customers: RBI directions to NBFCs
Highlighting the collaborative efforts required between the Reserve Bank and the NBFCs, the Governor stressed upon balancing growth aspirations with sound practices for ensuring inclusive development, customer protection and financial stability. He also underscored the significance of ensuring fair treatment to customers and putting in place a prompt grievance redress mechanism. Urging the NBFCs to further their contribution towards financial inclusion, the Governor requested them to become part of Unified Lending Interface (ULI) being put in place by the Reserve Bank.
Approval of a related party transactions: new process for audit committee and shareholders
SEBI has issued Industry Standards on “Minimum information to be provided for review of the audit committee and shareholders for approval of a related party transaction. The listed entity shall provide the audit committee with the information as specified in the Industry Standards on Minimum information to be provided for review of the audit committee and shareholders for approval of a related party transaction while placing any proposal for review and approval of an RPT.
