Valuation of securities

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..... re, SEBI issued guidelines for valuation of securities vide circulars dated September 18, 2000 and March 28, 2001. Association of Mutual Funds in India (AMFI) has made a representation for certain modifications in the guidelines. After examining the matter, the following modifications have been made in the guidelines : 1. Traded Securities The definition for traded se .....

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..... n a debt security (other than Government Securities) is purchased by way of private placement, the value at which it was bought may be used for a period of fifteen days beginning from the date of purchase. 2. Thinly Traded Debt Security The definition of a thinly traded debt security given in pt. 2 (page 2) of circular dated March 28, 2001 shall be replaced by the following def .....

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..... ay be changed to reflect the market value more closely by any agency suggested by AMFI giving benchmark yield/matrix of spreads over benchmark yield. The benchmark as calculated above will be set at least weekly, and in the event of any significant movement in prices of Government Securities on account of any event impacting interest rates on any day such as a change in the Reserve Bank o .....

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..... Unrated Instruments with duration upto 2 years Discretionary Discount of upto +50 over and above the mandatory Discount of + 50 Unrated Instruments with duration over 2 years Discretionary Discount upto + 50 over and above the mandatory Discount of +25. Other contents .....

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..... urities released by an agency suggested by AMFI for the sake of uniformity in calculation of NAVs. These guidelines effective immediately are being issued in accordance with the provisions of Regulation 77 of SEBI (Mutual Funds) Regulations, 1996. Yours faithfully, P.K. NAGPAL - Circular - Trade Notice - Public Notice - Instructions - Office orders Tax Management Indi .....

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