No. of accredited investors may rise post Sebi move

Regulatory Relaxation

- ANANYA GROVER

The Securities and Exchange Board of India's (Sebi) decision in its board meeting on Friday to extend a host of relaxations to alternative investment funds (AIFs) targeted at accredited investors (AIs) is expected to lead to a rise in the number of investors in this category, said experts.

As on May-end, there were only 649 AIs with valid accreditation certificates, according to a consultation paper by Sebi. Of this 405 are individuals and 122 corporate bodies.

To get the accreditation status, three eligibility options are there for individuals: net worth of over ₹7.5 crore, with at least ₹3.75 crore in financial assets, annual income of more than ₹2 crore, or a combination of a net worth of over ₹5 crore and an annual income of more than ₹1 crore.