RIAs will have to apply for membership of BSE Administration and Supervision (BASL) on or before August 31 2021, said SEBI.
SEBI clarified that the membership of BASL is compulsory for all RIAs to keep the RIA license active.
On June 14, the market regulator appointed BASL, a subsidiary of BSE, to oversee activities of RIAs and check if they comply with the regulatory norms. The appointment came into force on June 1, 2021 and is valid for three years.
Individual RIAs will have to pay a fee of Rs.2,000 to get the membership while corporates and LLP will have to shell out Rs.1 lakh as annual membership. BASL has kept renewal fees at Rs.1,800 for individuals/partnership firms and Rs.99,000 for corporates and LLP. RIAs can also take three-year membership.
The fee is over and above SEBI registration and renewal fees to obtain RIA license.
Click here for more details on the membership application process.
SEBI said the appointed supervisory firm will have following responsibilities:
- Supervising and monitoring activities of RIAs by obtaining periodical reports
- Redressing grievances of clients and RIAs
- Taking administrative action including issuing warnings to RIAs
- Submitting periodic reports to SEBI and maintaining database
