India’s Securities and Exchange Board of India (SEBI) has announced significant changes to its reporting framework, extending submission timelines for offsite inspection data from mutual funds and portfolio managers. This move is set to streamline compliance efforts while improving the ease of doing business within the country’s financial sector.
Mutual funds now have 15 calendar days after the end of each quarter to compile and submit their monthly data files, replacing the earlier deadline of 10 days. This adjustment provides mutual fund houses with added flexibility to enhance operational efficiency while ensuring accurate reporting. Registrar and Transfer Agents (RTAs) will continue their data submissions on an ongoing basis, maintaining consistent oversight mechanisms.
The revamped timeline for portfolio managers mirrors that of mutual funds, granting them 15 calendar days to submit their quarterly client reports. Portfolio managers must furnish detailed day-wise data across categories like ‘Client Folio AUM’ and ‘Client Holding Master,’ ensuring alignment with SEBI’s prescribed formats.
The regulator’s decision stems from industry feedback, underscoring SEBI’s proactive engagement with market participants to address their needs. SEBI’s offsite inspection data plays a pivotal role in monitoring compliance, safeguarding mutual fund norms, and preserving transparency within the market. It also reflects SEBI’s commitment to reducing compliance burdens without compromising regulatory oversight.
SEBI affirmed that these measures would take immediate effect, signaling its determination to foster a more supportive and inclusive regulatory environment. Additionally, reports suggest that SEBI is exploring a revised penalty system to prevent brokerage firms from being fined multiple times for the same violation—a significant step towards rationalizing enforcement practices.
These updates underscore SEBI’s adaptability and responsiveness in navigating the evolving needs of India’s financial markets, reinforcing trust and reliability for fund houses, portfolio managers, and investors alike. The move represents yet another stride in India’s journey toward modernizing regulatory compliance and fostering a more robust economic environment.
