Investment concentration limits restrict Specialized Investment Fund allocations to single issuers, imposing NAV and ownership caps. Specialized Investment Fund strategies face issuer-concentration limits: debt from a single investment grade issuer is capped at 20% of the strategy's NAV (extendable to 25% with board approvals), exempting Government securities and certain repos, and allowing rated mortgage backed securitised debt within the limit. Across all strategies, ownership of any company's paid up voting capital or units of specified trusts is limited to 15% (inclusive of mutual fund holdings), while any single strategy's equity and equity related exposure is capped at 10% of NAV; InvIT investments carry separate percentage caps and Seventh Schedule restrictions apply.
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.
Investment concentration limits restrict Specialized Investment Fund allocations to single issuers, imposing NAV and ownership caps.
Specialized Investment Fund strategies face issuer-concentration limits: debt from a single investment grade issuer is capped at 20% of the strategy's NAV (extendable to 25% with board approvals), exempting Government securities and certain repos, and allowing rated mortgage backed securitised debt within the limit. Across all strategies, ownership of any company's paid up voting capital or units of specified trusts is limited to 15% (inclusive of mutual fund holdings), while any single strategy's equity and equity related exposure is capped at 10% of NAV; InvIT investments carry separate percentage caps and Seventh Schedule restrictions apply.
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