SEBI allows Mutual Funds to enter into plain vanilla interest rate swaps (IRS) for hedging purpose

The SEBI had prescribed the guidelines for participation of mutual fund schemes in Interest Rate Swaps (IRS). In this regard based on the feedback received from the industry, the SEBI has decided to modify norms for investment and disclosure by Mutual Funds in Derivatives wherein it has specified that Mutual Funds may enter into plain vanilla Interest Rate Swaps (IRS) for hedging purposes.The SEBI had prescribed the guidelines for participation of mutual fund schemes in Interest Rate Swaps (IRS). In this regard based on the feedback received from the industry, the SEBI has decided to modify norms for investment and disclosure by Mutual Funds in Derivatives wherein it has specified that Mutual Funds may enter into plain vanilla Interest Rate Swaps (IRS) for hedging purposes.taxmann.com Latest Statutory HappeningsRead More

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