Consideration of application

For considering the grant of certificate of registration to the applicant, the Board shall take into account all matters which it deems relevant to the activities relating to portfolio management including the following – (a) Eligibility Criteria and Infrastructure Requirements: S. no Requirements Description (i) Entity Type Applicant shall be a body corporate. (ii) Infrastructure (a) The applicant has necessary infrastructure like adequate office space, equipment, dealing room a nd manpower to effectively discharge the activities of a portfolio manager. (b) The requirement of having a dealing room shall not be applicable for such portfolio managers as may be specified by the Board from time to time. (iii) Key Personnel The applicant has appointed a principal officer, compliance officer and one additional employee. (iv) Net worth (a) The applicant shall maintain minimum net worth requirement of at least five crore rupees. (b) The net worth requirement under th is regulation shall be fulfilled separately and independently, of the capital adequacy requirements, if any, for each activity undertaken by it under the relevant Acts and Regulations. (c) The applicant shall ensure to deploy at least ten percent of minimum net worth requirement in liquid assets which are unencumbered and shall include cash, bank deposits with scheduled commercial banks, money market instruments, Government securities, treasury bills, Repo on Government securities, units of liquid and overnight mutual fund schemes and any other instruments as specified by the Board. (d) Existing portfolio manager shall be required to comply with the requirement within twelve months from the commencement of these regulations. (v) Fit and Proper requirement for applicant The applicant is a fit and proper person in accordance with Schedule II of the S ecurities and Exchange Board of India (Intermediaries) Regulations, 2008. (vi) Investor Interest Grant of certificate to the applicant is in the interest of investors. (b) Personnel Qualification and Experience: S. no. Role Education Certification Experience (i) Principal Officer Graduation from a university or an institution recognized by the Central Government or any State Government or a recognized foreign university; or CFA Charter from CFA Institute, USA or Chartered Accountant from the Institute of Chartered Accountants of India or Company Secretary from the Institute of Company Secretaries of India or Cost and Management Accountant from the Institute of Cost Accountants of India; and The principal officer shall obtain relevant NISM certification as specified by the Board from time to time and ensure the continuous validity of such certification. Experience of at least five years in related activities in the securities market including with a portfolio manager, stock broker, investment advisor, research analyst or as a fund manager; Out of the above five years, at least two years of relevant experience shall be in portfolio management or investment advisory services or in the areas related to fund management. (ii) Employee (at least one person) Graduation from a university or an institution recognized by the Central Government or any State Government or a foreign university. No specific certification requirement. An experience of at least two years in related activities in the securities market including with a portfolio manager, stock broker, investment advisor, research analyst or as a fund manager; (iii) Any employee or Independent Fund Manager engaged by portfolio manager with decision making authority relating to fund management Any employee of the Portfolio Manager or Independent Fund Manager engaged by Portfolio Manager who has decision making authority related to fund management shall have the same minimum qualifications, experience and certification as specified for the Principal Officer.