Securities And Exchange Board Of India - Subsection
Section 6(2) in Securities and Exchange Board of India (Portfolio Managers) Regulations, 1993
(2)Without prejudice to the generality of the foregoing provisions, the Board shall consider whether-(a)the applicant is a body corporate;(b)the applicant has the necessary infrastructure like adequate office space, equipments and the manpower to effectively discharge the activities of a portfolio manager;(c)[ the principal officer of the applicant has either -(i)a professional qualification in finance, law, accountancy or business management from a university or an institution recognized by the Central Government or any State Government or a foreign university; or(ii)an experience of at least ten years in related activities in the securities market including in a portfolio manager, stock broker or as a fund manager [;]](iii)[ a CFA charter from the CFA Institute.] [Inserted by the SEBI (Portfolio Managers) (Amendment) Regulations, 2016, w.e.f. 02-01-2017.](d)the applicant has in its employment minimum of two persons who, between them, have at least five years experience [in related activities in portfolio management or stock broking or investment management] [Substituted 'as portfolio manager or stock broker or investment manager.' by the SEBI (Portfolio Managers) (Amendment) Regulations, 2008, w.e.f. 11-08-2008] or in the areas related to fund management;(e)any previous application for grant of certificate made by any person directly or indirectly connected with the applicant has been rejected by the Board;(f)any disciplinary action has been taken by the Board against a person directly or indirectly connected with the applicant under the Act or the Rules or the Regulations made thereunder.Explanation. - For the purposes of sub-clauses (e) and (f), the expression "person directly or indirectly connected" means any person being an associate, subsidiary, inter-connected company or a company under the same management within the meaning of section 370(1B) of the Companies Act,1956 or in the same group;(g)the applicant fulfills the capital adequacy requirements specified in regulation 7;(h)the applicant, its director, principal officer or the employee as specified in clause (d) is involved in any litigation connected with the securities market which has an adverse bearing on the business of the applicant;(i)the applicant, its director, principal officer or the employee as specified in clause (d) has at any time been convicted for any offence involving moral turpitude or has been found guilty of any economic offence;(j)[the applicant is a fit and proper person;] [Inserted by the SEBI (Portfolio Managers) (Amendment) Regulations, 1998, w.e.f. 05-01-1998.](k)grant of certificate to the applicant is in the interest of investors.]
