InvestorQ : Can you tell me about the recent SEBI decision to make REITs more accessible to retail investors?
sarah Leo made post

Can you tell me about the recent SEBI decision to make REITs more accessible to retail investors?

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Rashi Mehra answered.
6 months ago
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You are absolutely right that in its latest board meeting, SEBI amended REITS regulations with a view to reduce the minimum application value for REITs and INVITs. Now the minimum investment in REITs stands reduced from Rs.50,000 to Rs.10,000. For INVITs, the minimum investment stands reduced from Rs.1 lakh to Rs.15,000. That is a substantial move in favour of small and retail investors to encourage them to participate in REITs.

The higher initial investment had been a kind of entry barrier and had kept many retail players outside the ambit of REITs investments. This move by SEBI would give a boost to retail participation in REITs and improve liquidity, which has been the missing link in the entire story. REITs have become popular in India in the last two years, although the number of listed players are still too few.

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