INSUBCONTINENT EXCLUSIVE:
New Delhi, May 24 (PTI) With a view to facilitate ease of market access for foreign investors, markets regulator Sebi today allowed 's
egregated nominee account structure' in international financial services centre (IFSC) for such investors to trade on stock exchanges.
In
segregated nominee account structure, orders of foreign investors will be routed through eligible segregated nominee account providers for
trading on stock exchanges in IFSC while adhering to regulatory requirements, relating to identification of end-client, unique client code,
order placement at client level, client level margining and position limits.
In a circular, Sebi said that it will be obligatory on the
stock exchanges for brokers and providers to furnish information relating to trades on bourses in IFSC originated through providers
including KYC details of their end-clients, as and when requested.
Besides, exchanges in IFSC will have to ensure that the provisions of
Prevention of Money Laundering Act (PMLA) and including those relating to capturing the KYC information for sharing with the central KYC
Registry are adhered by providers for their end-clients.
Gujarat International Finance Tec-City (GIFT) has been set up by the state
government as India's first IFSC that brings together world class infrastructure, connectivity, people and technology on a single platform
for businesses across the world.
Sebi, in March 2015, had issued a detailed set of guidelines for establishing IFSCs as part of its efforts
for setting up financial hubs in the country
