Executive Summary:
This document contains amendments to the Securities and Exchange Board of India (SEBI) Alternative Investment Funds Regulations, 2012. It outlines changes to the requirements for the key investment team of the Manager of Alternative Investment Funds and introduces provisions related to Investment Committees. The regulations come into force on the date of their publication in the Official Gazette, October 19, 2020.
Key Points / Main Content:
Manager Key Investment Team:
* Replaces subclause g of regulation 4, specifying requirements for the Manager's key investment team.
* Mandates at least one key personnel with a minimum of five years of experience in advising/managing capital pools, fund/asset/wealth/portfolio management, or securities/financial assets dealing.
* Requires at least one key personnel with a professional qualification in finance, accountancy, business management, commerce, economics, capital market, or banking from a recognized institution, a CFA charter, or other Board-specified qualification.
* Allows the same key personnel to fulfill both the experience and professional qualification requirements.
Investment Committee:
* Inserts a new subregulation after regulation 20(5), assigning responsibility for investment decisions to the Manager.
* Permits the Manager to form an Investment Committee to approve investment decisions.
* Holds Investment Committee members equally responsible with the Manager for investment decisions.
* Requires the Manager and Investment Committee members to jointly ensure investments comply with regulations, placement memorandum terms, investor agreements, fund documents, and applicable laws.
* Specifies that external Investment Committee members not disclosed in initial fund documents require consent from at least 75% of investors (by value) for appointment.
* Allows for additional conditions as specified by the Board from time to time.
Impact Analysis:
Alternative Investment Fund Managers:
* Impact: Revised qualification and experience requirements for key investment team members; new regulations concerning the establishment and operation of Investment Committees.
* Action Required: Ensure key personnel meet the updated experience and qualification criteria; establish Investment Committees according to the new regulations, including defining responsibilities and consent procedures.
Investment Committee Members:
* Impact: Increased responsibility for investment decisions and compliance.
* Action Required: Understand and adhere to compliance requirements; participate in investment decisions, ensuring alignment with regulations and fund documents.
Investors in Alternative Investment Funds:
* Impact: Enhanced oversight of investment decisions through the Investment Committee structure; right to approve the appointment of external Investment Committee members in certain situations.
* Action Required: Exercise the right to approve external Investment Committee members; monitor fund investments for compliance.
Securities and Exchange Board of India (SEBI):
* Impact: Enhanced regulatory framework for Alternative Investment Funds.
* Action Required: Enforce the new regulations and specify additional conditions as needed.
Key Entities Referenced
Securities and Exchange Board of India: The regulatory body that issued the notification and enacted the amendment regulations.
Securities and Exchange Board of India Act, 1992: The Act of Parliament that confers powers to SEBI to make regulations.
Securities and Exchange Board of India Alternative Investment Funds Regulations, 2012: The principal regulations being amended by this notification.
Securities and Exchange Board of India Alternative Investment Funds Amendment Regulations, 2020: The title of the new regulations introduced through this notification.
Official Gazette: The official publication in which the regulations are to be published to come into force.
Investment Committee: A committee that the Manager may constitute to approve investment decisions of the Alternative Investment Fund.
Mumbai, Maharashtra: The city and state where the Securities and Exchange Board of India is located and from where the notification was issued.
Ajay Tyagi: The Chairman of the Securities and Exchange Board of India at the time of notification.
रिज(cid:7021)(cid:7069)ी स.ं डी.एल.- 33004/99 REGD. No. D. L.-33004/99
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सी.जी.-एम.एच.-अ.-19102020-222560
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CG-MH-E-19102020-222560
असाधारण
EXTRAORDINARY
भाग III—ख(cid:7003) ड 4
PART III—Section 4
(cid:7079)ािधकार स े(cid:7079)कािशत
PUBLISHED BY AUTHORITY
स.ं 442] नई (cid:7408)द(cid:7016)ली, सोमवार, अ(cid:6989)त बू र 19, 2020/आि(cid:7019)व न 27, 1942
No. 442] NEW DELHI, MONDAY, OCTOBER 19, 2020/ASVINA 27, 1942
भारतीय (cid:7079)ितभिू त और िविनमय बोड(cid:6981)
अिधसचू ना
म(cid:7013)ु बई, 19 अ(cid:6989) तूबर, 2020
भारतीय (cid:7079)ितभिू त और िविनमय बोड(cid:6981)
[आनकु ि(cid:7016)पक िविनधान (िनवशे ) िनिधया]ँ (सशं ोधन) िविनयम, 2020
स.ं सेबी/एल.ए.डी./एन.आर.ओ./जी.एन./2020/37.—बोड(cid:6981), भारतीय (cid:7079)ितभूित और िविनमय बोड(cid:6981) अिधिनयम,
1992 (1992 का 15) क(cid:7409) धारा 11 क(cid:7409) उप-धारा (1), धारा 11 क(cid:7409) उप-धारा (2) के खडं (खक) तथा खंड (ग) और धारा
12 क(cid:7409) उप-धारा (1) तथा (1ख) के साथ प(cid:7407)ठत धारा 30 क(cid:7409) उप-धारा (1) (cid:7367)ारा (cid:7079)द(cid:7275) शि(cid:7334)य(cid:7298) का (cid:7079)योग करत े (cid:7263)ए,
एत(cid:7375)ारा भारतीय (cid:7079)ितभूित और िविनमय बोड(cid:6981) [आनुकि(cid:7016)पक िविनधान (िनवेश) िनिधयाँ] िविनयम, 2012 का और
संशोधन करन े के िलए िन(cid:7388)िलिखत िविनयम बनाता ह,ै अथा(cid:6981)त:्-
1. इन िविनयम(cid:7298) को भारतीय (cid:7079)ितभूित और िविनमय बोड(cid:6981) [आनुकि(cid:7016)पक िविनधान (िनवेश) िनिधया]ँ (संशोधन)
िविनयम, 2020 कहा जा सकेगा ।
2. व े राजप(cid:7074) म(cid:7286) उनके (cid:7079)काशन क(cid:7409) तारीख को (cid:7079)व(cid:7275)ृ (लाग)ू ह(cid:7298)ग े।
3. भारतीय (cid:7079)ितभूित और िविनमय बोड(cid:6981) [आनुकि(cid:7016)पक िविनधान (िनवेश) िनिधयाँ] िविनयम, 2012 म(cid:7286), -
I. िविनयम 4 का उप-िविनयम (छ) िन(cid:7388)िलिखत से (cid:7079)ित(cid:7021)थािपत हो जाएगा, अथा(cid:6981)त्, -
“(छ) आनुकि(cid:7016)पक िनवेश िनिध के (cid:7079)बंधक के म(cid:6990)ु य िनवेश दल के पास –
5013 GI/2020 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART III—SEC. 4]
(i) पया(cid:6981)(cid:7385) अनुभव हो, िजसम(cid:7286) कम से कम (cid:7408)कसी एक म(cid:6990)ु य (cid:7390)ि(cid:7334) (क(cid:7409) पस(cid:7299)नल) के पास पूँजी के
पूल के संबधं म (cid:7286) सलाह देन े या उसके (cid:7079)बंधन म(cid:7286) अथवा िनिध (फंड) या आि(cid:7021)त (असेट) या धन
(वे(cid:7016)थ) या पोट(cid:6981)फोिलयो (cid:7079)बंधन म (cid:7286) अथवा (cid:7079)ितभूितय(cid:7298) (िस(cid:6989)य(cid:7407)ू रटीज़) या अ(cid:7008)य िव(cid:7275)ीय
आि(cid:7021)तय(cid:7298) (फाइन(cid:7286)िशयल असे(cid:6999)स) क(cid:7409) खरीद, िब(cid:7059)(cid:7409) तथा उनम (cid:7286) लेनदने ((cid:7390)ौहार) करन े संबंधी
कारोबार म(cid:7286) कम से कम पाँच वष(cid:7300) का अनुभव हो; और
(ii) कम से कम एक ऐसा म(cid:6990)ु य (cid:7390)ि(cid:7334) हो िजसके पास के(cid:7008)(cid:7076)ीय सरकार या (cid:7408)कसी रा(cid:6996)य सरकार
(cid:7367)ारा मा(cid:7008)यता(cid:7079)ा(cid:7385) िव(cid:7393)िव(cid:7378)ालय या स(cid:7021)ं था से अथवा िवदेशी िव(cid:7393)िव(cid:7378)ालय से िव(cid:7275)
(फाइन(cid:7286)स), अकाउंट(cid:7286)सी, कारबार (cid:7079)बंधन (िबजनेस मनै ेजम(cid:7286)ट), वािण(cid:6996)य (कॉमस(cid:6981)), अथ(cid:6981)शा(cid:7403),
पूँजी बाजार (कैिपटल माक(cid:7287)ट) या ब(cid:7289)(cid:7412)कंग म(cid:7286) (cid:7390)ावसाियक यो(cid:6991)यता (वृि(cid:7275)क अहत(cid:6981) ा) हो, अथवा
सीएफए इंि(cid:7021)ट(cid:7351)ूट क(cid:7409) ओर से (cid:7079)दान (cid:7408)कया गया सीएफए चाट(cid:6981)र हो अथवा ऐसी कोई दसू री
यो(cid:6991)यता (अहत(cid:6981) ा) हो जैसा बोड(cid:6981) (cid:7367)ारा िनधा(cid:6981)(cid:7407)रत (cid:7408)कया जाए:
परंतु यह (cid:7408)क िविनयम 4(छ)(i) तथा 4(छ)(ii) म(cid:7286) अनुभव तथा (cid:7390)ावसाियक यो(cid:6991)यता के संबंध
म(cid:7286) िनधा(cid:6981)(cid:7407)रत क(cid:7409) गई अप(cid:6979)े ाएँ एक ही मु(cid:6990)य (cid:7390)ि(cid:7334) (cid:7367)ारा भी परू ी क(cid:7409) जा सक(cid:7286)गी ।”
II. िविनयम 20 के उप-िविनयम (5) के प(cid:7391)ात,् िन(cid:7388)िलिखत अंतः(cid:7021)थािपत (cid:7408)कया जाएगा, अथा(cid:6981)त,् -
“(6) (cid:7079)बंधक आनुकि(cid:7016)पक िनवशे िनिध के िनवेश संबंधी िनणय(cid:6981) (cid:7298) के िलए िज(cid:7013)मेदार होगा:
परंतु यह (cid:7408)क (cid:7079)बंधक आनुकि(cid:7016)पक िनवेश िनिध के िनवेश संबंधी िनण(cid:6981)य(cid:7298) को मंजूरी (cid:7079)दान करने के िलए एक
िनवेश सिमित ((cid:7408)फर चाहे उसे (cid:7408)कसी भी नाम से पुकारा जाए) ग(cid:7407)ठत कर सकेगा, बशत(cid:7287) (cid:7408)क:
(i) िनवेश सिमित के सद(cid:7021)य आनकु ि(cid:7016)पक िनवेश िनिध के िनवेश संबंधी िनण(cid:6981)य(cid:7298) के िलए (cid:7079)बंधक क(cid:7409)
तरह ही समान (cid:7272)प से िज(cid:7013)मेदार ह(cid:7298)ग े।
(ii) (cid:7079)बंधक और िनवशे सिमित के सद(cid:7021)य िमलकर और अलग-अलग यह सुिनि(cid:7391)त कर(cid:7286)ग े (cid:7408)क
आनुकि(cid:7016)पक िनवेश िनिध के िनवेश(cid:7298) के संबंध म(cid:7286) इन िविनयम(cid:7298) के (cid:7079)ावधान(cid:7298) का, (cid:7009)लेसम(cid:7286)ट मैमोरै(cid:7008)डम
((cid:7021)थानन (cid:6980)ापन), िनवेशक के साथ (cid:7408)कए गए करार (ए(cid:7061)ीम(cid:7286)ट), (cid:7408)क(cid:7008)ह(cid:7277) अ(cid:7008)य िनिध द(cid:7021)तावेज(cid:7298) (फंड
डॉ(cid:6989)यूम(cid:7286)(cid:6999)स) क(cid:7409) शत(cid:7300) आ(cid:7408)द का और (cid:7408)क(cid:7008)ह(cid:7277) अ(cid:7008)य लागू कानूनी (cid:7079)ावधान(cid:7298) का पालन (cid:7408)कया जा रहा
ह।ै
(iii) िजन बाहरी सद(cid:7021)य(cid:7298) के नाम, िनवेशक बनात े समय, (cid:7009)लेसम(cid:7286)ट ममै ोरै(cid:7008)डम या िनवेशक के साथ (cid:7408)कए
गए करार या (cid:7408)क(cid:7008)ह(cid:7277) अ(cid:7008)य िनिध द(cid:7021)तावेज(cid:7298) (फंड डॉ(cid:6989)यूम(cid:7286)(cid:6999)स) म(cid:7286) (cid:7079)कट (िड(cid:7021)(cid:6989)लोज़) न (cid:7408)कए गए ह(cid:7298),
उनक(cid:7409) िनयुि(cid:7334) िनवेश सिमित म(cid:7286) कम से कम पचह(cid:7275)र (cid:7079)ितशत िनवेशक(cid:7298) [उनके (cid:7367)ारा आनुकि(cid:7016)पक
िनवेश िनिध या (cid:7021)क(cid:7409)म म(cid:7286) (cid:7408)कए गए िनवेश के म(cid:7016)ू य के अनुसार] क(cid:7409) सहमित से ही क(cid:7409) जाएगी ।
(iv) बोड(cid:6981) (cid:7367)ारा समय-समय पर िनधा(cid:6981)(cid:7407)रत क(cid:7409) गई (cid:7408)क(cid:7008)ह(cid:7277) अ(cid:7008)य शत(cid:7300) का पालन (cid:7408)कया जाए ।”
अजय (cid:7004)यागी, अ(cid:7007)य(cid:6979)
[िव(cid:6980)ापन-III/4/असा./304/2020-21]
पाद (cid:7407)ट(cid:7009)पण :
1. भारतीय (cid:7079)ितभूित और िविनमय बोड(cid:6981) [आनुकि(cid:7016)पक िविनधान (िनवेश) िनिधयाँ] िविनयम, 2012, सं. एल.ए.डी.-
एन.आर.ओ./जी.एन./2012-13/04/11262, 21 मई 2012 को भारत के राजप(cid:7074) म(cid:7286) (cid:7079)कािशत (cid:7263)ए थ े।
2. भारतीय (cid:7079)ितभूित और िविनमय बोड(cid:6981) [आनुकि(cid:7016)पक िविनधान (िनवेश) िनिधयाँ] िविनयम, 2012 त(cid:7004)प(cid:7391)ात्, -
(1) 16 िसत(cid:7013)बर, 2013 को भारतीय (cid:7079)ितभूित और िविनमय बोड(cid:6981) [आनुकि(cid:7016)पक िविनधान (िनवेश) िनिधयाँ]
(संशोधन) िविनयम, 2013, सं. एलएडी-एनआरओ/जीएन/2013-14/24/6573, (cid:7367)ारा[भाग III—ख(cid:7003) ड 4] भारत का राजप(cid:7074) : असाधारण 3
(2) 23 मई, 2014 को भारतीय (cid:7079)ितभूित और िविनमय बोड(cid:6981) (फ(cid:7409)स का संदाय) (संशोधन) िविनयम, 2014, सं.
एल.ए.डी.-एन.आर.ओ./जी.एन./2014-15/03/1089, (cid:7367)ारा
(3) 26 िसत(cid:7013)बर, 2014 को भारतीय (cid:7079)ितभूित और िविनमय बोड(cid:6981) ((cid:7407)रयल इ(cid:7021)टेट िनवेश (cid:7008)यास) िविनयम, 2014, सं.
एल.ए.डी./एन.आर.ओ./जी.एन./2014-15/11/1576, (cid:7367)ारा
(4) 14 अग(cid:7021)त, 2015 को भारतीय (cid:7079)ितभूित और िविनमय बोड(cid:6981) [आनुकि(cid:7016)पक िविनधान (िनवेश) िनिधयाँ]
(संशोधन) िविनयम, 2015, सं. सेबी/एल.ए.डी.-एन.आर.ओ./जी.एन./2015-16/011, (cid:7367)ारा
(5) 4 जनवरी, 2017 को भारतीय (cid:7079)ितभूित और िविनमय बोड(cid:6981) [आनुकि(cid:7016)पक िविनधान (िनवेश) िनिधयाँ]
(संशोधन) िविनयम, 2016, सं. सेबी/एल.ए.डी.-एन.आर.ओ./जी.एन./2016-17/026, (cid:7367)ारा
(6) 6 माच(cid:6981), 2017 को भारतीय (cid:7079)ितभूित और िविनमय बोड (cid:6981) (फ(cid:7409)स का भुगतान और भुगतान का मा(cid:7007)यम)
(संशोधन) िविनयम, 2017, सं. सेबी/एल.ए.डी.-एन.आर.ओ./जी.एन./2016-17/037, (cid:7367)ारा
(7) 1 जून, 2018 को भारतीय (cid:7079)ितभूित और िविनमय बोड (cid:6981) [आनुकि(cid:7016)पक िविनधान (िनवेश) िनिधयाँ] (संशोधन)
िविनयम, 2018, सं. सेबी/एल.ए.डी.-एन.आर.ओ./जी.एन./2018/19, (cid:7367)ारा
(8) 10 मई, 2019 को भारतीय (cid:7079)ितभूित और िविनमय बोड (cid:6981) [आनुकि(cid:7016)पक िविनधान (िनवशे ) िनिधया]ँ (संशोधन)
िविनयम, 2019, सं. सेबी/एल.ए.डी.-एन.आर.ओ./जी.एन./2019/16, (cid:7367)ारा
(9) 17 अ(cid:7079)ैल, 2020 को भारतीय (cid:7079)ितभूित और िविनमय बोड (cid:6981) (रे(cid:6991)यूलेटरी स(cid:7289)डबॉ(cid:6989)स) (संशोधन) िविनयम, 2020,
सं. सेबी/एल.ए.डी.-एनआरओ/जीएन/2020/10, (cid:7367)ारा
संशोिधत (cid:7263)ए थ े।
SECURITIES AND EXCHANGE BOARD OF INDIA
NOTIFICATION
Mumbai, the 19th October , 2020
SECURITIES AND EXCHANGE BOARD OF INDIA (ALTERNATIVE INVESTMENT FUNDS)
(AMENDMENT) REGULATIONS, 2020
No. SEBI/LAD-NRO/GN/2020/37.—In exercise of the powers conferred by sub-section (1) of Section 30
read with sub-section (1) of Section 11, clause (ba) and clause (c) of sub-section (2) of section 11 and sub-section (1)
and (1B) of Section 12 of the Securities and Exchange Board of India Act, 1992 (15 of 1992) the Board hereby makes
the following regulations to further amend the Securities and Exchange Board of India (Alternative Investment Funds)
Regulations, 2012 namely:—
1. These regulations may be called the Securities and Exchange Board of India (Alternative Investment Funds)
(Amendment) Regulations, 2020.
2. They shall come into force on the date of their publication in the Official Gazette.
3. In the Securities and Exchange Board of India (Alternative Investment Funds) Regulations, 2012-
I. Sub-clause (g) of regulation 4 shall be substituted with the following, namely, -
“(g) The key investment team of the Manager of Alternative Investment Fund has -
(i) adequate experience, with at least one key personnel having not less than five years
of experience in advising or managing pools of capital or in fund or asset or wealth
or portfolio management or in the business of buying, selling and dealing of
securities or other financial assets; and
(ii) at least one key personnel with professional qualification in finance, accountancy,
business management, commerce, economics, capital market or banking from a
university or an institution recognized by the Central Government or any State
Government or a foreign university, or a CFA charter from the CFA institute or any
other qualification as may be specified by the Board:4 THE GAZETTE OF INDIA : EXTRAORDINARY [PART III—SEC. 4]
Provided that the requirements of experience and professional qualification as
specified in regulation 4(g)(i) and 4(g)(ii) may also be fulfilled by the same key
personnel.”
II. After sub-regulation (5) of regulation 20, the following shall be inserted, namely, -
“(6) The Manager shall be responsible for investment decisions of the Alternative Investment
Fund:
Provided that the Manager may constitute an Investment Committee (by whatever name it may
be called), to approve investment decisions of the Alternative Investment Fund, subject to the
following:
(i) The members of Investment Committee shall be equally responsible as the Manager for
investment decisions of the Alternative Investment Fund.
(ii) The Manager and members of the Investment Committee shall jointly and severally ensure
that the investments of the Alternative Investment Fund are in compliance with the
provisions of these regulations, the terms of the placement memorandum, agreement
made with the investor, any other fund documents and any other applicable law.
(iii) External members whose names are not disclosed in the placement memorandum or
agreement made with the investor or any other fund documents at the time of on-
boarding investors, shall be appointed to the Investment Committee only with the consent
of at least seventy five percent of the investors by value of their investment in the
Alternative Investment Fund or scheme.
(iv) Any other conditions as specified by the Board from time to time.”
AJAY TYAGI, Chairman
[ADVT-III/4/Exty./304/2020-21]
Footnote:
1. The Securities and Exchange Board of India (Alternative Investment Funds) Regulations, 2012 were
published in the Gazette of India on May 21, 2012 vide No. SEBI/LAD-NRO/GN/2012-13/04/11262.
2. The Securities and Exchange Board of India (Alternative Investment Funds) Regulations, 2012 were
subsequently amended on, –
(1) 16th September, 2013 by Securities and Exchange Board of India (Alternative Investment Funds)
(Amendment) Regulations, 2013 vide No. LAD-NRO/GN/2013-14/24/6573.
(2) 23rd May, 2014 by Securities and Exchange Board of India (Payment of Fees) (Amendment)
Regulations, 2014 vide No. LAD-NRO/GN/2014-15/03/1089.
(3) 26th September, 2014 by Securities and Exchange Board of India (Real Estate Investment Trusts)
Regulations, 2014 vide No. LAD-NRO/GN/2014-15/11/1576.
(4) 14th August, 2015 by Securities and Exchange Board of India (Alternative Investment Funds)
(Amendment) Regulations, 2015 vide No. SEBI/LAD-NRO/GN/2015-16/011.
(5) 4th January, 2017 by Securities and Exchange Board of India (Alternative Investment Funds)
(Amendment) Regulations, 2016 vide No. SEBI/LAD/NRO/GN/2016-17/026.
(6) 6th March, 2017 by Securities and Exchange Board of India (Payment of Fees and Mode of Payment)
(Amendment) Regulations, 2017 vide No. SEBI/LAD/NRO/GN/2016-17/037.
(7) 1st June, 2018 by Securities and Exchange Board of India (Alternative Investment Funds)
(Amendment) Regulations, 2018 vide No. SEBI/LAD/NRO/GN/2018/19.
(8) 10th May, 2019 by Securities and Exchange Board of India (Alternative Investment Funds)
(Amendment) Regulations, 2019 vide No. SEBI/LAD/NRO/GN/2019/16.
(9) On 17 April, 2020 by the Securities and Exchange Board of India (Regulatory Sandbox)
(Amendment) Regulations, 2020 vide No. SEBI/LAD-NRO/GN/2020/10.
Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054.