Reserve fund requirement and mandated transfer of General Fund surplus to the Consolidated Fund establish fiscal rules for SEBI's funds. The amendment adds a capital expenditure clause requiring approval of annual capital expenditure plans by the Board and Central Government, and establishes a Reserve Fund into which a proportion of the General Fund's annual surplus is credited until a cap equal to the total annual expenditure of the preceding two years is reached; after expenses and the Reserve Fund transfer, any remaining General Fund surplus is to be transferred to the Consolidated Fund of India.