The Corporate Debt Market Development Fund (CDMDF) has been ...
Govt fund to buy corporate bonds in market stress to boost liquidity.
December 16, 2024
Circulars SEBI
The Corporate Debt Market Development Fund (CDMDF) has been classified as a Category I Alternative Investment Fund under Regulation 3(4)(a) of the SEBI (Alternative Investment Funds) Regulations, 2012. CDMDF was set up under Chapter III-C to act as a backstop facility for purchasing investment grade corporate debt securities during market stress periods to enhance secondary market liquidity. Despite having a separate framework under Regulation 19, CDMDF falls under Category I AIF given its broader economic objective of developing the corporate bond market.
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