Question

    What is the maximum percentage of equity a Foreigner

    Portfolio Investor can hold in an company?
    A 5% Correct Answer Incorrect Answer
    B 10% Correct Answer Incorrect Answer
    C 49% Correct Answer Incorrect Answer
    D 51% Correct Answer Incorrect Answer
    E No such limit exists Correct Answer Incorrect Answer

    Solution

    As per SEBI (Foreign Portfolio Investment) regulation of 2014, a Foreign Portfolio Investor (FPI) can hold a maximum 10% equity in a company. Any investment above 10% is considered as FDI.

    Practice Next