Sebi proposes ₹20,000 crore AUM bar to classify significant market indices

Key Highlights

• The market watchdog has recommended computing cumulative AUM using the daily average AUM of domestic mutual fund schemes for each month over the preceding six months.
• The assessment would be carried out twice a year, as of 30 June and 31 December.
• If a mutual fund scheme tracks more than one index or benchmark, only the portion of AUM attributable to each index will be considered.
• In the case of an index of indices, AUM tracking the underlying indices will be included in proportion to their respective weights.
• “Some schemes such as thematic schemes are made for specific investors and may not be benchmarking significant indices.