IFSCA has issued a Consultation Paper on draft Revamped Regulatory Framework for Global Access in the IFSCA. IFSCA proposes a revamped regulatory framework for Global Access in the IFSC, inter alia covering the following aspects:
a) Registration of Global Access Providers
b) Modalities of Global Access/ Operational Framework
c) Permitted Products through Global Access
d) Responsibilities of Global Access Providers and Broker Dealers
e) Disclosures to Clients
f) KYC, AML and CFT Norms
g) Code of Conduct and Advertisement Code
h) Periodic Reporting
i) Fee Structure
j) Other regulatory norms
Regulatory Objectives
The key regulatory objectives of the proposed revamped framework are as follows:
1. To enhance opportunities for broker-dealers operating in the IFSC to access and participate in various global exchanges.
2. To position the IFSC as a gateway for outbound investments by resident Indians in a regulated manner
3. To promote ease of doing business by providing more operational flexibility and streamlining norms relating to cross-border trading between IFSC and global markets.
4. To reinforce the regulatory framework by effectively managing and mitigating risks associated with global market access.
5. To align the framework with internationally recognized best practices.
