Securities and Exchange Board of India (Mutual Funds) Regulations, 2026

SEBI/LAD-NRO/GN/2026/294 · 2026-07-07 · Securities and Exchange Board of India

Summary

This part comprises Chapter I Preliminary of the Securities and Exchange Board of India (Mutual Funds) Regulations, 2026 amended upto July 7, 2026 issued under SEBI Act section 30 read with section 11(2)(c). Regulation 1 prescribes the short title as the Securities and Exchange Board of India (Mutual Funds) Regulations, 2026 and commencement with effect from April 1, 2026. Regulation 2(1) defines terms (a) to (aa) including Act, accredited investor, advertisement, associate, asset management company, broad based fund, control and SIF Investment Strategy. This part defines terms from InvIT to unit holder including liquid net worth, market abuse, mutual fund, MF Lite and related concepts. It provides that words and expressions not defined in these regulations but defined in the Act and other specified Acts shall have the same meanings as in those Acts. It prescribes the procedure for registration of a mutual fund including application format, fees, handling of incomplete applications and grant of certificate. Regulation 4 subjects registration to conditions that trustees, sponsor, asset management company and custodian adhere to regulations, the mutual fund promptly notifies misleadi

Text

These regulations may be called the Securities and Exchange Board of India (Mutual Funds) Regulations, 2026.

These regulations shall come into force with effect from April 1, 2026.

“Act” means the Securities and Exchange Board of India Act, 1992 (15 of 1992);

“accredited investor” shall have the same meaning as assigned to it in clause (ab) of sub-regulation (1) of regulation 2 of the Securities and Exchange Board of India (Alternative Investment Funds) Regulations, 2012;

“advertisement” shall include any communication issued by or on behalf of the mutual fund or asset management company that may influence the investment decision of any investor or prospective investor;

“associate” includes, — (i) any person who directly or indirectly, either individually or in combination with relatives, exercises control over the asset management company or the trustee or the sponsor, as the case may be; (ii) any person, in respect of whom the asset management company or the trustee or the sponsor, directly or indirectly, by itself, or in combination with other persons, exercises control; (iii) a company whose director, other than an independent director, or officer or employee is also a director, or officer or employee of the asset management company; or (iv) in respect of a pooled investment vehicle including private equity funds that acts as a sponsor of a mutual fund, a. an associate or group company of the manager of the pooled investment vehicle; b. any investee company in which ten percent or more of the shareholding is held by the schemes or funds managed by manager of the pooled investment vehicle; or c. any investee company in which the pooled investment vehicle holds ten percent or more of the shareholding or where the directors of the pooled investment vehicle or corporate sponsor has representation on the board or right to nominate representatives on the board:

“asset management company” means a company incorporated under the Companies Act 1956 (1 of 1956) or Companies Act, 2013 (18 of 2013) and approved by the Board under regulation 18;

‘broad based fund’ shall mean the fund which has at least twenty investors and no single investor holds more than twenty-five percent of corpus of the fund;

“broker” means a stock broker as defined in the Securities and Exchange Board of India (Stock Brokers) Regulations, 2026;

“close-ended scheme” means any scheme of a mutual fund in which the period of maturity of the scheme is specified;

“control” means, — (i) in the case of a company any person, either individually or together with persons acting in concert, who directly or indirectly own, control or hold shares carrying not less than 10% of the voting rights of such company; or (ii) as between two companies, if the same person, either individually or together with persons acting in concert, directly or indirectly, own, control or hold shares carrying not less than 10% of the voting rights of each of the two companies; or (iii) majority of the directors of any company who are in a position to exercise control over the asset management company;

Corporate Debt Market Development Fund shall have the same meaning assigned to it under clause (ga) of sub-regulation (1) of regulation 2 of the Securities and Exchange Board of India (Alternative Investment Funds) Regulations, 2012;

Source: SecMarx — Securities and Exchange Board of India (Mutual Funds) Regulations, 2026. Verbatim text is public record; SecMarx structuring (linkage to applying orders) is cited to us.