Review of time limit for disclosure of NAV of Mutual fund schemes investing overseas
Summary
This SEBI circular modifies the time limits for disclosing the Net Asset Value (NAV) of mutual fund schemes that invest in overseas markets. It introduces extended deadlines ranging from 9 AM to 10 AM on T+1 day for specific scheme types to account for international time zone differences. The revised guidelines become effective from July 1, 2023, and are issued under Section 11(1) of the SEBI Act.
Text
partial modification with regard to timelines for declaration of NAV is prescribed depending on investment objective and asset allocation of schemes
All schemes other than those mentioned below ... New timeline: 11 PM on T day
For schemes having exposure to ETCDs ... New timeline: 9 AM on T+1 day
Fund of Funds (FoFs) schemes ... New timeline: 10 AM on T+1 day
Schemes investing atleast 80% of total assets in permissible overseas investments ... New timeline: 10 AM on T+1 day
Index funds and ETFs investing atleast 80% of total assets in permissible overseas investments ... New timeline: 10 AM on T+1 day
Schemes unable to disclose NAV as per timeline mentioned above due to inability in capturing same day valuation ... Such time as per disclosure made in SID along with reasons for such delayed disclosure
AMCs as a principle shall ensure that NAV of schemes is disclosed based on the value of underlying securities/ Funds as on the T day
The provisions of this circular shall come into force with effect from July 1, 2023
This circular is issued in exercise of powers conferred under Section 11 (1) of the Securities and Exchange Board of India Act, 1992, read with the provisions of Regulation 77 of SEBI (Mutual Funds) Regulations, 1996
Source: SecMarx — Review of time limit for disclosure of NAV of Mutual fund schemes investing overseas. Verbatim text is public record; SecMarx structuring (linkage to applying orders) is cited to us.