SEBI's Skin-In-The-Game Rules: What A Junior Employee Working In Fund House Needs To Know
NDTV
Market regulator SEBI on Monday clarified on its 'Skin-In-The-Game' rules issued earlier in the end of April this year.
New Delhi: Market regulator SEBI on Monday clarified on its 'Skin-In-The-Game' rules issued earlier in the end of April this year. Under the fresh set of norms for junior employees, the provision could be implemented in a phased manner. The new set of rules will come into effect from October 1 this year. According to the new SEBI circular, in first year, 10% of compensation of junior employees will be invested in mutual fund of the fund house (October 1, 2021 to September 30, 2022); 15% in the 2nd year of implementation (October 1, 2022 to September 30, 2023) and 20% in the third year (October 1, 2023 onwards).
Who Are These Junior Employees
Those employees who are below 35 years of age and are not a Chief Executive Officer (CEO), head of any department and fund managers, SEBI said.
CEO, head of any department and fund managers are required to invest 20% of their salaries in the mutual fund units right from October 1, 2021, and and also for a lock-in period for three years.
