Sebi rolls out new KYC rules for FPIs based on their risk profile

Providing relief to foreign portfolio investors, Sebi Friday came out with revised Know Your client (KYC) norms as well as eligibility conditions for such entities.

Certain categories of FPIs would be required to maintain a list of beneficial owners and provide the same to the regulator.

"Category II and III FPIs registered prior to this circular (existing FPIs) should provide the list of BOs and applicable KYC documentation within six months," Sebi said in a circular.

The categorization of FPIs is based on their risk profile.

The norms have been finalized after taking into consideration suggestions from a panel headed by former RBI Deputy Governor H R Khan and comments from the public.