Consider the following about P-Notes:

1. It is an instrument for a foreign investor to invest in Indian stock market without having to go through kyc norms of SEBI
2. P-Notes are issued by SEBI to such investors.

Which of the above are correct?

1 only

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2 only

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Both 1 and 2

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None of the above

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Solution

The correct option is A
1 only
Brokers and Foreign institutional investors (FIIs) must register with the Securities and Exchange Board of India. Participatory notes allow non-registered investors to invest in the Indian market. Participatory notes, referred to as P-Notes or PNs, are derivative instruments of underlying Indian assets. Participatory notes are popular investments due to the investor remaining anonymous.

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Consider the following about P-Notes: 1. It is an instrument for a foreign investor to invest in Indian stock market without having to go through kyc norms of SEBI 2. P-Notes are issued by SEBI to such investors. Which of the above are correct?

Consider the following about P-Notes:

1. It is an instrument for a foreign investor to invest in Indian stock market without having to go through kyc norms of SEBI
2. P-Notes are issued by SEBI to such investors.

Which of the above are correct?