In light of the market events on account of the COVID-19 pandemic, requests from portfolio managers (PM) and the prevailing business and market conditions, SEBI has, by its Circular dated June 29, 2020, further extended the timeline to implement the Guidelines prescribed by it for PMs under its Circular dated February 13, 2020 (PM Guidelines). PMs will now be required to comply with the PM Guidelines from October 1, 2020.
SEBI had, on January 16, 2020, notified the SEBI (Portfolio Managers) Regulations, 2020 which replaced the erstwhile SEBI (Portfolio Managers) Regulations, 1993 (1993 Regulations) in its entirety, thereby bringing significant changes to the portfolio management space. In addition to the 2020 Regulations, SEBI also issued a Circular on February 13, 2020 prescribing the PM Guidelines, implementation of which has now been extended from May 1, 2020 to October 1, 2020.
Set out below is an overview of the key aspects and changes sought to be brought about by the 2020 Regulations and the PM Guidelines: