Sebi's new compensation rule to create arbitrage in favour of index funds
A section of mutual fund houses feared that markets regulator Sebis new framework on compensation will adversely affect their key employee cash flow and make it difficult to retain talent. In addition, the new rule will create regulatory arbitrage in favour of index funds and exchange-traded funds (ETFs) and will result in potential death of active fund management, fund houses said. On Wednesday, Sebi asked asset management companies (AMCs) to pay at least 20 per cent of gross salary of key ...
Radhika Gupta Omkeshwar Singh Jimmy Patel Quantum Mutual Fund Research Kaustubh Belapurkar India Director
Source: business-standard.com