**Summary:**
This circular, reference number SEBI/HO/IMD/DIMDI/DOF6/CIR/2021/549, issued by the Securities and Exchange Board of India (SEBI) on April 07, 2021, addresses regulatory reporting requirements for all Alternative Investment Funds (AIFs). The circular aims to ease compliance by reviewing and rationalizing existing reporting requirements, based on consultations with stakeholders and recommendations from the Alternative Investment Policy Advisory Committee.
Key provisions of the circular are as follows:
1. **Quarterly Reporting:** All AIFs are required to submit reports on their activities to SEBI on a quarterly basis, within 10 calendar days from the end of each quarter, using revised formats specified in Annexure I.
2. **Leverage Reporting (Category III AIFs):** Category III AIFs must also submit quarterly reports on leverage undertaken, using the revised formats specified in Annexure II.
3. **Online Submission:** All reports must be submitted online through the SEBI intermediary Portal.
4. **Disclosure of Changes:** Any changes to the private placement memorandum and fund/scheme documents must be communicated to investors and SEBI on a consolidated basis, within one month of the end of each financial year. The intimation should clearly specify the changes made, including relevant revised sections/clauses and page numbers.
The modified reporting requirements outlined in paragraph 2 of the circular are applicable for the quarter ending December 31, 2021, onwards. The provisions of paragraph 4, regarding disclosure of changes, came into effect immediately upon issuance of the circular.
This circular is issued under Section 11(1) of the Securities and Exchange Board of India Act, 1992, to protect investor interests, promote development, and regulate the securities market.
The circular is available on the SEBI website (www.sebi.gov.in) under "Legal Framework" and "Circulars" and "Info for Alternative Investment Funds".
For further information, contact Sanjay Singh Bhati, Deputy General Manager, at 912226449222 or ssbhati@sebi.gov.in.
Key Entities Referenced
Securities and Exchange Board of India (SEBI): A regulatory body for the securities market in India, responsible for protecting investors and promoting market development.
Alternative Investment Funds (AIFs): Privately pooled investment funds that collect funds from sophisticated investors, whether Indian or foreign, for investing as per a defined investment policy.
AIF Regulations: Refers to the regulations governing Alternative Investment Funds, under which AIFs are required to submit periodical reports to SEBI.
Circular No. CIR/IMD/DF/10/2013 dated July 29, 2013: A previous circular issued by SEBI regarding reporting requirements for AIFs, which is being reviewed and rationalized.
Alternative Investment Policy Advisory Committee: A committee whose recommendation was considered for revising the reporting requirements for AIFs.
Category III AIFs: A specific category of AIFs that are also required to submit reports on leverage undertaken.
SEBI Intermediary Portal: The online platform through which AIFs are required to submit their reports to SEBI.
Securities and Exchange Board of India Act, 1992: The act of Parliament that established SEBI and defines its powers to regulate the securities market.
CIRCULAR
SEBI/HO/IMD/IMD-I/DOF6/CIR/2021/549 April 07, 2021
To,
All Alternative Investment Funds (AIFs)
Dear Sir/ Madam,
Sub: Regulatory reporting by AIFs
1. In terms of AIF Regulations and paragraph 3.2 of Circular No.
CIR/IMD/DF/10/2013 dated July 29, 2013, AIFs are required to
submit periodical reports to SEBI relating to their activity. To provide
ease of compliance, it has been decided to review and rationalize the
existing regulatory reporting requirements.
2. Accordingly, based on consultation with various stakeholders and
recommendation of Alternative Investment Policy Advisory Committee,
it has been decided that all AIFs shall submit report on their activity as
an AIF to SEBI on quarterly basis within 10 calendar days from the end
of each quarter in the revised formats as specified in Annexure I.
Further, Category III AIFs shall also submit report on leverage
undertaken, on quarterly basis in the revised formats as specified in
Annexure II.
3. AIFs shall submit these reports online through SEBI intermediary
Portal.
4. Further, in partial modification to paragraph 3 of Circular No.
CIR/IMD/DF/16/2014 dated July 18, 2014, any changes in terms of
private placement memorandum and in the documents of the
fund/scheme shall be intimated to investors and SEBI on a
consolidated basis, within 1 month of the end of each financial year.
Such intimation shall specifically mention the changes carried-out in
the private placement memorandum and the documents of the
fund/scheme, along with the relevant pages of revised
sections/clauses.5. The modified reporting requirements, as mentioned at paragraph 2 of
this Circular, shall be applicable for quarter ending December 31, 2021
onwards. However, the provisions of paragraph 4 of this Circular shall
come into effect immediately.
6. This Circular is issued 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 and to promote the
development of, and to regulate the securities market.
7. This Circular is available on SEBI website at www.sebi.gov.in under the
categories “Legal Framework” and under the drop down “Circulars” and
"Info for - Alternative Investment Funds”.
Yours faithfully,
Sanjay Singh Bhati
Deputy General Manager
Tel no.: +91-22-26449222
ssbhati@sebi.gov.in