The market regulator on Tuesday permitted foreign portfolio investment (FPIs) in real estate investment trusts (Reits), infrastructure investment trusts (InvITs) and alternative investment funds (AIFs). The regulator also allowed FPI to acquire bonds under default. The central bank in November had changed the Foreign Exchange Management Act (Fema) rules to permit FPI in these.
Sebi said FPI will be allowed to hold up to 25 per cent stake in category-3 AIFs, which includes hedge funds.
