BS
India’s markets regulator has given high risk offshore funds 7 months time to liquidate holdings if they fail to disclose data about their investors by Jan. 29, two sources said on Wednesday, allaying fears of an impending sell-off in the market.
“There is no immediate deadline or cliff for offshore funds to liquidate any holdings,” said the first of the two sources, both of who have knowledge of the matter.
On Tuesday, a local media report said the Securities and Exchange Board of India (SEBI) will not extend the deadline for disclosures. Indian shares slumped 1.5% on Tuesday on fears that this will lead to some foreign investors immediately selling their holdings in India.
The sources declined to be named as they are not authorised to speak to media. The SEBI spokesperson did not immediately respond to a request for comment on Wednesday.
