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NISM Certifications · NISM-Series-VI: Depository Operations · Foreign Portfolio Investors (FPI)

An FPI registered as Category I wants to know which of the following entities falls in that category under the SEBI FPI Regulations, 2019.

A government-related investor such as a central bank or sovereign wealth fund is Category I under the SEBI FPI Regulations, 2019. Individuals, family offices and private trusts fall in Category II, which carries a lower regulatory standing than Category I.

  1. AA government-related investor such as a central bank or sovereign wealth fundCorrect
  2. BAn individual foreign investor with a large portfolio
  3. CA family office investing its own funds
  4. DA private trust of an overseas businessman

Explanation

Category I includes government and government-related investors such as central banks, sovereign wealth funds and multilateral agencies. Individuals, family offices and similar entities are placed in Category II.

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