Business Standard

Custodians flag concerns to Sebi on monitoring foreign holdings in DRs

Confidentiality, difficulty in differentiating an account as client or non-client are some of the issues raised

Global investors, investment, FDI, FPI
Premium

Illustration: Ajay Mohanty

Ashley Coutinho Mumbai
A clutch of custodians have written to the Securities and Exchange Board of India (Sebi) highlighting the difficulties associated with complying with the diktat on monitoring foreign holding in depository receipts.

The circular requires designated depository participants or custodians to collect, monitor and report information every month on offshore derivatives instruments (ODIs) and depository receipts (DRs) held by foreign portfolio investors (FPIs) and those foreign entities which belong to the investor group of the FPIs. The report is required to be submitted to the depository on the 17th of every month.

Currently, ODIs are reported to Sebi directly by ODI

What you get on BS Premium?

  • Unlock 30+ premium stories daily hand-picked by our editors, across devices on browser and app.
  • Pick your 5 favourite companies, get a daily email with all news updates on them.
  • Full access to our intuitive epaper - clip, save, share articles from any device; newspaper archives from 2006.
  • Preferential invites to Business Standard events.
  • Curated newsletters on markets, personal finance, policy & politics, start-ups, technology, and more.
VIEW ALL FAQs

Need More Information - write to us at assist@bsmail.in