SEBI has made some important decisions recently. They have given approval for a new set of rules for index providers
and have also allowed non-profit organizations (NPOs) to raise funds more easily through the stock market.
These decisions were made during a meeting of the Securities and Exchange Board of India (SEBI).
SEBI has been taking steps to protect the interests of investors, including changes to ensure the safety of those investing in Alternative Investment Funds (AIF).
Additionally, they plan to establish a new regulatory framework to support small and medium real estate investment trusts (SM-REITs).
The Chairperson of SEBI, Madhavi Puri Buch, mentioned that the goal of SM-REIT is to significantly expand the market, allowing more retail investors to have partial ownership in REIT units.
SEBI is open to considering more such products in the future. SEBI also aims to provide flexibility for NPOs to raise funds through social stock markets.
To achieve this, SEBI will reduce the minimum issue limit for NPOs issuing ‘Zero Coupon Zero Principal’ (ZCZP) bonds on the social stock market from Rs 1 crore to Rs 50 lakh.
They will also introduce a regulatory framework for index providers to enhance transparency and accountability in the administration of financial standards in the securities market.