TaxTMI 
Review of the framework for Accredited Investors
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.... these provisions are specified below. 3. Manager led accreditation 3.1. A Manager may determine and record an investor's accredited status at onboarding or during the tenure of a scheme, after verifying that the investor meets eligibility criteria under the AIF Regulations and this circular. For the purpose of accreditation, "Manager" means the manager of an AIF, the asset management company of a Specialized Investment Fund (SIF) (as defined under SEBI (Mutual Funds) Regulations, 2026) or a portfolio manager (as defined under SEBI (Portfolio Managers) Regulations, 2026), as applicable. 3.2. A determination made by a Manager shall be recognised across Managers of the same Group for AIFs, SIFs and portfolio managemen....
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....nue to be reckoned as an Accredited Investor for the remaining life of that scheme. 4.5. A certificate of accreditation issued before the date of applicability of this circular shall remain valid for its unexpired period of validity. 5. Securities market exposure 5.1. The minimum qualifying securities market exposure shall be INR 5 crore in the case of an individual, Hindu Undivided Family, family trust or sole proprietorship, and INR 20 crore in the case of a body corporate or a trust other than a family trust. 5.2. The following shall qualify as securities market exposure: 5.2.1. Securities held in dematerialised form; 5.2.2. Mutual fund investment held through mutual fund folios; 5....
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....king accreditation shall adopt an accreditation policy specifying: 6.4.1. conflict of interest controls, including separation of the accreditation function from the business development and distribution function; 6.4.2. an escalation and grievance redressal process for resolving investor concerns arising from the determination of accredited status; and 6.4.3. record retention infrastructure, covering inter alia data privacy and cybersecurity, so that the confidentiality of the information submitted by investors is protected. 6.5. The Manager shall document the accreditation decision, the eligibility criterion relied upon and the supporting verification in a manner that enables the decision to be independe....
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....ibility criteria applicable to it. 9. Persons Resident Outside India 9.1. A Person Resident Outside India, as defined under the Foreign Exchange Management Act, 1999, shall be deemed to be an Accredited Investor and shall not be required to obtain a certificate of accreditation or undergo Manager led accreditation. 9.2. The Manager shall record the basis on which the investor has been identified as a Person Resident Outside India. 9.3. Deemed Accredited Investor status shall not dilute the obligations of an AIF and its Manager, as reporting entities under the Prevention of Money-laundering Act, 2002 and the rules framed thereunder, to conduct client due diligence, identify beneficial owners and comply with appl....