SEBI has issued a circular on Modalities for implementation of the framework for Accredited Investors in exercise of powers conferred under Section 11(1) of the Securities and Exchange Board of India Act, 1992, to protect the interest of investors in securities market and to promote the development of, and to regulate the securities market.
Pursuant to public consultation and approval of the SEBI Board, the framework for “Accredited Investors” (‘AIs’) has been introduced in the securities market. In this regard, the SEBI (Alternative Investment Funds) Regulations, 2012, SEBI (Portfolio Managers) Regulations, 2020 and SEBI (Investment Advisers) Regulations, 2013 have been amended and notified on August 03, 2021.
Under the aforesaid framework, AIs may avail flexibility in minimum investment amount (“Lower ticket size”) or concessions from specific regulatory requirements applicable to investment products, subject to conditions applicable for specific products/ services under the aforesaid Regulations. The modalities of accreditation are provided in Annexure A.
Refer to Annexure A for modalities for Accreditation HERE