The Securities and Exchange Board of India (SEBI) on May 07, 2024, issued the Master Circular for Alternative Investment Funds (AIFs).
The following has been stated namely: -
• Various circulars have been issued with an objective to ensure an effective regulatory framework for AIFs. The provisions of such circulars issued until March 31, 2024, have been incorporated in this Master Circular, which supersedes the Master Circular for AIFs dated July 31, 2023.
• In addition to the requirements specified under this Master Circular, the AIFs shall be required to independently comply with the other requirements specified by SEBI for market intermediaries such as the ‘Levy of Goods & Services Tax (GST) on the fees payable to SEBI’, ‘Approach to securities market data access and terms of usage of data provided by data sources in Indian securities market’, ‘Digital mode of payment’, ‘Information regarding Grievance Redressal Mechanism’ and ‘Guidelines on Outsourcing of Activities by Intermediaries’, etc.
• Any other directions or guidance issued by SEBI as specifically applicable to AIFs, shall continue to remain in force in addition to the provisions of this Master Circular or any other law for the time being in force.
• With the issuance of this Master Circular, all the circulars mentioned in Annexure 17 of this Master Circular shall stand rescinded.
• The following are a few contents from the Master Circular: -
o Online Filing System for AIFs
o Filing of Private Placement Memorandum (‘PPM’) and related compliance requirements
o Registration related clarification
o Investment in AIFs
o Operational and prudential norms for Category III AIFs
This Master Circular shall come into force from May 07, 2024
[Notification No. SEBI/HO/AFD-1/AFD-1-PoD/P/CIR/2024/39]
