The International Financial Services Centres Authority (IFSCA) has proposed amendments to the FME Regulations to introduce a Platform Play framework, discussed below:
What?
Fund Management Entities (FMEs) operating in GIFT IFSC may extend their fund management platforms to other clients.
Who?
All FMEs registered with IFSCA can manage schemes (funds) for other clients, up to an AUM of USD 10 million per fund.
How?
– Adequate disclosures in offer documents
– Appointment of distinct Principal and Compliance Officers for each strategy.
– Implementation of a comprehensive risk management framework.
– Regular internal audits and reviews.
– A robust mechanism to address investor complaints and disputes.
– Operational independence for each strategy.
Why?
This framework draws inspiration from the Luxembourg ManCos model, managing more than EUR 100 bn in AUM, where investment funds are managed on behalf of others, handling key tasks such as portfolio management, risk control, compliance, and investor relations.
The proposed Platform Play framework will allow fund managers to explore opportunities in GIFT IFSC by using the platform of an existing FME. Additionally, this framework offers existing FMEs the opportunity to expand their service offerings to other funds.
General public and stakeholders are requested to forward their comments/suggestions on this framework on or before August 26, 2024.
What do you think of this? Reach out to us at @priya.k@treelife.in for a deeper discussion or leave a comment below.
We Are Problem Solvers. And Take Accountability.
Related Posts
Sweat Equity in India: Eligibility, Restrictions, Tax Treatment
Sweat equity shares are one of the most misused instruments in the Indian equity toolkit. Companies reach for them when...
Learn More
Cap table Restructuring for Startups in India: A Pre-Fundraise Guide
Most institutional investors in India run a cap table audit within the first week of diligence. What they find in...
Learn More
Founder Shareholding Dilution – How to Reclaim Majority
Founders who have crossed a Series B in India typically hold between 25% and 45% of their company on a...
Learn More© 2026 Treelife Ventures Services Private Limited. All Rights Reserved.