The Securities and Exchange Board of India (SEBI) has laid down detailed compliance reporting formats for Specialized Investment Funds (SIFs), seeking to bring uniformity and clarity in regulatory disclosures by asset managers offering such products. The directions were issued through a circular dated January 8, 2026, and come into effect immediately .
SEBI said that all reporting requirements applicable to mutual funds under the SEBI (Mutual Funds) Regulations, 1996, the Master Circular for Mutual Funds dated June 27, 2024, and other related circulars will also apply to SIFs. This is in line with the regulatory framework for SIFs introduced through a circular issued on February 27, 2025.
As part of the changes, SEBI has modified the Compliance Test Report (CTR) format to include an additional Part IV dedicated to SIF-specific requirements. Asset management companies managing SIFs will now be required to report compliance on parameters such as minimum investment thresholds, characteristics of investment strategies, fee and expense limits, issuer-level exposure restrictions across equity, debt, derivatives, and investment vehicles such as InvITs, as well as product differentiation, disclosures, branding, distribution, benchmarking, and risk band compliance.
Further, the Half-Yearly Trustee Report (HYTR) format has been amended to include a new Clause 72A. Trustees will need to certify aspects including the AMC’s expertise and internal controls for managing SIFs, adherence to investment restrictions, disclosure and branding norms, fee regulations, and investor protection measures.
SEBI said the circular has been issued under its powers to protect investor interests and to promote orderly development of the securities market.
