FME Regulatory Intelligence, Learning & Practice · IFSCA (Fund Management) Regulations, 2025
Computation of NAV

Regulation 39

Computation of NAV

IFSCA (Fund Management) Regulations, 2025Amended in 2026Chapter III · Schemes for Fund Management

Chapter III · Schemes for Fund Management

Regulation 39 – Computation of NAV
Amended 2026 High importance about 3 min

Restricted (non-retail) schemes: The core non-retail scheme regime — corpus, investors, disclosure, valuation and contribution.

1

In plain English

NAV computation for Restricted schemes: at least monthly generally; at least half-yearly for close-ended schemes; at least yearly for close-ended schemes with the Reg 36(3) 75%-investor approval.

In plain English
2

The rule, in its own words

Read the exact text of Regulation 39
39. (1) 25[The FME shall compute the NAV of each restricted scheme at least on a monthly basis, starting from the month in which the scheme commences investment activities, excluding investments made in accordance with second proviso to sub-regulation (1) of regulation 34: Provided that in case of a close - ended restricted scheme the computation of NAV shall take place at least half-yearly, starting from the half-year period in which the scheme commences investment activities, excluding investments made in accordance with second proviso to sub-regulation (1) of regulation 34. Provided further that for such close - ended schemes for which the FME has obtained prior approval from investors in…
Show the full text
39. (1) 25[The FME shall compute the NAV of each restricted scheme at least on a monthly basis, starting from the month in which the scheme commences investment activities, excluding investments made in accordance with second proviso to sub-regulation (1) of regulation 34: Provided that in case of a close - ended restricted scheme the computation of NAV shall take place at least half-yearly, starting from the half-year period in which the scheme commences investment activities, excluding investments made in accordance with second proviso to sub-regulation (1) of regulation 34. Provided further that for such close - ended schemes for which the FME has obtained prior approval from investors in terms of proviso to sub-regulation (3) of regulation 36, the computation of NAV shall take place at least yearly, starting from the financial year in which the scheme commences investment activities, excluding investments made in accordance with second proviso to sub-regulation (1) of regulation 34.] (2) The procedure and methodology for calculating the NAV should be fully documented, and such documentation should be regularly verified and amended, if required.
Statutory text — Principal Regulations, 2025, consolidated as amended up to 10 September 2026 (including the Second Amendment, 2026). The notified Gazette text prevails. Tap a highlighted word for how it functions.
Amendment history (3 notes)

Footnotes from the consolidated text. They record earlier wording and are not operative law.

  1. 23 Substituted by the International Financial Services Centres Authority (Fund Management) (Second Amendment) Regulations, 2026, w.e.f. September 10, 2026. Prior to the substitution, it read as “In line with”
  2. 24 Substituted by the International Financial Services Centres Authority (Fund Management) (Second Amendment) Regulations, 2026, w.e.f. September 10, 2026. Prior to the substitution, it read as- “Provided that the above requirement shall not apply in case of a fund of funds scheme that invests in scheme(s) regulated by a financial sector regulator, directly or through a manager, in IFSC, India or foreign jurisdiction(s), which are valued by any independent entity.”
  3. 25 Substituted by the International Financial Services Centres Authority (Fund Management) (Second Amendment) Regulations, 2026, w.e.f. September 10, 2026. Prior to the substitution, it read as- “ FME shall compute the NAV of each restricted scheme at least on a monthly basis: Provided that in case of a close ended restricted scheme the computation of NAV shall take place at least half-yearly.”
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What this means in practice

Compliance actions
Applies to
Restricted scheme
Frequency
Monthly / half-yearly / yearly depending on structure and approval
Evidence
NAV computation workpapers matched to applicable frequency
4

What changed in 2026

NAV computation for Restricted schemes: at least monthly generally (from the month investment activities commence, excluding Reg 34(1) second-proviso investments); at least half-yearly for close-ended schemes; at least yearly for close-ended schemes where the FME has obtained prior investor approval under the new Reg 36(3) proviso (the 75% consent route).

Practical effect
Ties NAV computation frequency to the same 75%-investor-approval mechanism introduced for disclosure in Reg 36 — computation and disclosure cadence now move together.
What to do
Ensure NAV computation frequency mirrors whatever disclosure cadence (monthly/half-yearly/yearly) has been established and documented for each Restricted scheme.
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Where it connects

Refers to / depends on

Referred to by

Read alongside

6

Check yourself

Quiz Centre

Test yourself on Regulation 39

3 questions in the unified bank test this regulation. Each explains every option and cites the provision.

For an open-ended Restricted scheme, NAV must be computed at least how often?
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Your notes

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Restricted (non-retail) schemes
Regulation 39 Chapter III · Part B Amended 2026 High · about 3 min