Minimum Investment Threshold enforcement: breach leads to unit freeze, 30 day notice to cure, then automatic redemption at NAV. Daily monitoring by the Asset Management Company is required to prevent an investor's aggregate SIF holdings falling below the Minimum Investment Threshold. An Active Breach-a decline in aggregate SIF investment value below the threshold due to investor initiated transactions-will cause all units across SIF strategies to be frozen and a 30 calendar day notice to rebalance. If not remedied within 30 days, the frozen units will be automatically redeemed by the AMC at the applicable Net Asset Value on the next business day. AMCs, RTAs and Depositories must establish systems to implement this mechanism.
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.
Minimum Investment Threshold enforcement: breach leads to unit freeze, 30 day notice to cure, then automatic redemption at NAV.
Daily monitoring by the Asset Management Company is required to prevent an investor's aggregate SIF holdings falling below the Minimum Investment Threshold. An Active Breach-a decline in aggregate SIF investment value below the threshold due to investor initiated transactions-will cause all units across SIF strategies to be frozen and a 30 calendar day notice to rebalance. If not remedied within 30 days, the frozen units will be automatically redeemed by the AMC at the applicable Net Asset Value on the next business day. AMCs, RTAs and Depositories must establish systems to implement this mechanism.
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