India's mutual fund industry is opposing a proposal by the Securities and Exchange Board of India (SEBI) to extend its 50% portfolio overlap rule to sectoral and thematic passive funds.

India

Who

Securities and Exchange Board of India (SEBI), Indian mutual fund industry, NDTV Profit, Nishant Prasad (Finsec Law Advisors)

What

When

Thu, 11 Jun 2026 05:45:55 GMT · 2h 31m ago

Where

India ·

Why

SEBI aims to curb a sharp rise in passive fund launches and limit the number of similar passive schemes to avoid unnecessary product clutter for investors.

The Frontline Impact

How this affects you

This proposal could slow new scheme launches in India's fastest-growing mutual fund segments, potentially reducing revenue for Asset Management Companies that rely on passive funds for fee income and limiting product offerings for investors.

Story chain

1 event in this thread

No related history yet - this is the origin event.

Verified Sources & Citations

NDTV Profit
https://www.ndtvprofit.com/markets/sebi-may-cut-lookalike-passive-funds-but-mf-industry-not-enthused-11620977
HIGH

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