The Securities and Exchange Board of India (SEBI) has raised the threshold for additional disclosures by foreign portfolio investors (FPIs) from Rs 25,000 crore to Rs 50,000 crore.
SEBI had directed FPIs holding more than 50% of their equity AUM in a single corporate group or with an overall holding in Indian equity markets of over Rs 25,000 crore to disclose granular details of all entities with ownership or economic interest in the FPI.
The decision to increase disclosure norms has been made due to the increase in the market size, as cash equity markets' trading volumes have more than doubled between FY23 and FY25.
The new framework will come into effect immediately, and the size criteria aim to prevent potential disruptions by FPIs with large Indian equity portfolios.