Personal Finance News
2 min read | Updated on February 26, 2025, 11:36 IST
SUMMARY
In a notice-cum-addendum, Edelweiss Mutual Fund informed that seven of its schemes that invest in global funds and securities are approaching the headroom available for the overseas investment limit.
The subscription limit on seven global schemes will come into effect from February 27. | Image: Shutterstock
Edelweiss Mutual Fund has announced subscription limits in seven funds that invest in global securities. The limit will be effective Thursday, February 27, 2025.
In a notice-cum-addendum on Monday, Edelweiss Mutual Fund informed that seven of its schemes that invest in global funds and securities are approaching the headroom available for the overseas investment limit.
Hence, a limit of ₹1 lakh per PAN per day will come into effect from February 27 for lumpsum, switch-in, Systematic Transfer Plan (STP), Systematic Investment Plan (SIP), and other transactions in seven of its schemes, which include six international funds and one index fund.
"This restriction will be applicable based on the transaction reporting date. Further, transactions reported till February 25, 2025 before cut-off time including switches where switch-in scheme is any of the below will not be considered for such limit restriction, " the fund house said, adding, "The existing systematic transactions viz. SIPs/ STPs etc. will remain unaffected."
The "necessary changes will be carried out in the relevant sections of the SID/KIM of the designated schemes as mentioned above of the Mutual Fund. This notice-cum-addendum shall form an integral part of the SID / KIM / SAI of the Schemes as amended from time to time and shall override the conflicting provisions, if any, in this regard," the MF said.
The Securities and Exchange Board of India (SEBI), in February 2022, told domestic mutual funds to stop further investment in foreign stocks to prevent the Reserve Bank of India's (RBI) $7 billion limit on overseas investments. The RBI also set a $1 billion cap for individual fund houses and for investing in foreign exchange-traded funds (ETFs).
However, later, the market regulator allowed mutual funds to invest in foreign stocks again, provided they stayed within the RBI limits.
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