Regulation 5D - Trading when in possession of unpublished price sensitive information.
Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015 Chapter IIA RESTRICTIONS ON COMMUNICATION IN RELATION TO AND TRADING BY INSIDERS IN THE UNITS OF MUTUAL FUNDS.
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Insider trading restrictions: trading mutual fund units barred while holding unpublished price sensitive information, with specified procedural exceptions. Insiders are barred from trading mutual fund units while in possession of unpublished price sensitive information affecting NAV or unit holders, with a rebuttable presumption of motivation. Rebuttal may be established by: off-market inter-se transfers reported to the asset management company and notified to the stock exchange; statutory or regulatory obligation transactions; systematic transactions registered two months prior; and irrevocable trading plans approved by the Compliance Officer and disclosed sixty days prior (plans must run at least six months, with certain pre-clearance and contra trade norms inapplicable). Connected persons bear the onus of proof; otherwise the Board bears the onus.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Insider trading restrictions: trading mutual fund units barred while holding unpublished price sensitive information, with specified procedural exceptions.
Insiders are barred from trading mutual fund units while in possession of unpublished price sensitive information affecting NAV or unit holders, with a rebuttable presumption of motivation. Rebuttal may be established by: off-market inter-se transfers reported to the asset management company and notified to the stock exchange; statutory or regulatory obligation transactions; systematic transactions registered two months prior; and irrevocable trading plans approved by the Compliance Officer and disclosed sixty days prior (plans must run at least six months, with certain pre-clearance and contra trade norms inapplicable). Connected persons bear the onus of proof; otherwise the Board bears the onus.
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