In the wake of the IL&FS crisis, the mutual fund industry is keen the regulator allow schemes with exposure to bonds issued by troubled companies to use side pocketing.
What is side pocket?
A ‘side pocket’ option allows a fund house to separate bad assets or risky ones from other liquid investments in a debt portfolio which could get impacted by the credit profile of underlying instruments. Using this accounting process, you can insulate small investors from be ..
