The regulator SEBI may soon allow a new and interesting product class. While still under discussion, it has been proposed to introduce a new offering, currently referred to as NAC (New Asset Class) or as investment strategies.
This product will aim to provide more flexibility than regular mutual funds, but will have a lower minimum ticket size than a PMS or AIF. So, it is kind of like that the regulator wants to provide a differentiated product to bridge the opportunity gap between mutual funds and PMS. Since flexibilities will be more, the product, by nature, is expected to offer higher risk-taking strategies within a regulated framework.
