participatory notes

CIR/IMD/FII&C/7/2011 - 15.06.2011 If an ODI (e.g. on MSCI India Index) is hedged with multiple types of Indian securities and left partly unhedged, it may be split in separate rows with each row for each Indian security and a blank column for the unhedged portion. The outstanding value of ODIs shall be summation of all such rows. b. The current methodology of reporting F&O positions will be continued. The outstanding value of ODIs shall continue to be represented in not.. Full Article

CIRCULAR CIR/IMD/FIIC/2/201 1 January 18, 2011 To All Foreign Institutional Investors through their designated Custodians of Securities Dear Sir/Madam, Sub: Addendum to the Circular No. CIR/IMD/FIIC/1/2011 1.       Please refer to the Circular No. CIR/IMD/FIIC/1/2011 dated January 17, 2011. In this respect it is to be stated that the word ‘revised’ as mentioned in the paragraph [...] Full Article

SEBI – Reporting of Offshore Derivative Instruments (ODIs)/Participatory Notes(PNs) activity CIRCULAR NO. IMD/FIIC/1/2011, DATED 17-1-2011 1. Please refer to SEBI Circular No. IMD/CUST/8/2003, dated August 8, 2003 read with Circular No. IMD/CUST/9/2003, dated November 20, 2003 read with Circular No. IMD/CUST/15/2004, dated April 2, 2004, advising FIIs issuing Offshore Derivative Instruments (ODIs)/Participatory Notes (PNs) against [...] Full Article

With a view to rationalising the present arrangements relating to foreign portfolio investments by Foreign Institutional Investors (FIIs)/ Non Resident Indians (NRIs) and other foreign investments like Foreign Venture Capital Investor (FVCI) and Private Equity entities etc., the Government has decided to set up a working group to look at various types of foreign flows, which are taking advantage of arbitrage across the respective stand-alone regulations and generate reco.. Full Article

This follows a renewed effort by CBDT to seek clarification on the issue. The finance ministry has decided to keep the issue of taxing participatory notes (P-Notes) on the back burner to encourage foreign inflows. These views follow a renewed effort by the Central Board of Direct Taxes (CBDT) to seek a clarification on the taxation of the P-Notes. Sources said the clarification was sought since it was noticed that the issuance of these notes had gone up, following a buoy.. Full Article

Zero interest rates of US and low interest rates of other countries made cheap money to flow like water coming out of a fountain. All these cheap money founded BRIC economies assets at cheap valuations giving them enough scope to generate healthy ROI. Full Article

To encourage foreign portfolio investment, the Finance Ministry has set up a working group for suggesting changes in the existing policy on foreign capital inflows by FIIs, NRIs and venture capital funds. The 16-member group on portfolio investments, to be headed by UTI MF CMD U K Sinha, will also review the current arrangements relating to participatory notes-- instruments through which unregistered foreign entities invest in Indian stock markets, sources said. Full Article