K.P. Krishnan Expert Committee 

  • IASbaba
  • June 5, 2021
  • 0
UPSC Articles
Print Friendly, PDF & Email

K.P. Krishnan Expert Committee 

Part of: GS Prelims and GS-III – Economy

In news

  • Dr. K.P. Krishnan headed the expert committee on Variable Capital Company (VCC).

Why was the committee set up?

  • The IFSCA set up this Committee to explore the potential for allowing another legal structure, popularly known as a VCC, as an additional option through which asset managers could pool the investors’ funds.
    • The VCC structure removes some of the key limitations of companies.
    • It provides for higher regulatory standards than those applicable to trusts.

Report of the committee

  • The Committee assessed the features of a VCC or its equivalent, in other countries such as the UK, Singapore, Ireland and Luxembourg. 
  • The Committee recommended the adoption of a VCC-like legal structure for the purpose of conducting fund management activity in IFSCs
  • The Committee recognized that the legal framework governing entities should provide certainty and clarity to investors. 

For a dedicated peer group, Motivation & Quick updates, Join our official telegram channel – https://t.me/IASbabaOfficialAccount

Subscribe to our YouTube Channel HERE to watch Explainer Videos, Strategy Sessions, Toppers Talks & many more…

Search now.....

Sign Up To Receive Regular Updates