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(From India Business Insight)
The Securities Exchange Board of India (SEBI) has announced draft regulations for hedge funds. SEBI hedge fund regulation requires that hedge funds must have broad-based investment philosophy. Hedge funds seeking registration as FIIs (foreign institutional investors) in the country must have 20 percent of their corpus contributed by pension funds, university funds, charitable trusts, endowments, banks and insurance companies.
SEBI opines that presence of institutional investors in the fund ensures better governance on the part of the …