SEBI Consultation paper on facilitating investments by Indian Mutual Funds in such overseas funds that invest certain portion of their assets in Indian securities

SEBI has issued a Consultation paper on facilitating investments by Indian Mutual Funds in such overseas funds that invest certain portion of their assets in Indian securities. Comments are sought in respect of the following:

1. Whether the limit of 20% appropriate?
2. Whether passive schemes such as overseas ETFs, index funds etc. be excluded from the 20% exposure limit? If yes, whether Indian Mutual Funds should invest in such overseas passively managed funds which may have more than 20% exposure to Indian securities.
3. Whether the criteria for investment in overseas MF/UTs should also include any specific parameter ensuring no concentration of investors in the underlying overseas MF/UTs?

Public Comments on this Consultation Paper should be submitted latest by June 07, 2024.