Question

According to recent RBI and SEBI guidelines, what must

Q: Answer-According to recent RBI and SEBI guidelines, what must foreign portfolio investors (FPIs) do if thei...

FPIs must secure government approval and the consent of the investee company if their equity holdings exceed specified limits, ensuring compliance with regulatory norms.

foreign portfolio investors (FPIs) do if their equity holdings exceed prescribed limits?

A Withdraw from the Indian market within 10 days

B Obtain government approval and the investee company's consent

C Convert excess equity holdings into bonds

D Transfer excess holdings to local investors

E Invest only in low-risk securities

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Solution