The Securities and Exchange Board of India vide notification dated 28th January 2020 has provided more clarity on norms related to composition and functioning of Investor Protection Fund (IPF) Trust with regard to stock exchanges and depositories.
The Norms for the composition of IPF Trust are uniformly applicable across Exchanges and Depositories and the functions of IPF Trust shall be applicable only to Exchanges. Further, The trust is required to disburse the amount of compensation from IPF to the investor and such compensation will not be more than the maximum amount fixed for a single claim of an investor. Depositories shall ensure compliance with these norms within three months from the date of this circular.
Further SEBI has renamed the “investor grievance redressal committee” as “grievance redressal committee”. It has also rechristened member selection committee as member committee.
Click here to read the Notification.
