The capital markets regulator’s proposals on launching a new asset class between mutual funds and portfolio management services (PMS) will open Indian investors to different investment products, styles and approaches. However, experts feel that certain suggestions may exposure investors to some of the riskiest instruments.
The Securities and Exchange Board of India (SEBI) on July 16 proposed a new asset class that provides investors with a regulated investment product featuring higher risk-taking capabilities and a higher ticket size, aimed at curbing the proliferation of unregistered and unauthorised investment products.
