SEBI has proposed to include investments in AIFs, REITs, and InvITs in the data
on household savings generated through various segments that have been published by the RBI and the Ministry of Statistics and Programme Implementation (MoSPI). This will result in a more accurate representation of household income.
The regulator wants to exploit the Indian security markets to entirely seize household money. The following are some of SEBI’s proposal’s main points:
The household savings data must also include the investments made by NPISHs (Non-Profit Institutions Serving Households). Non-governmental organizations, arts and culture groups, political parties, social clubs, business and professional associations, religious congregations, hospitals, universities, schools, environmental groups, and social service providers are examples of NPISHs.
To be included in the data is the actual amount invested in debt and equity instruments in primary and secondary markets. Currently, the RBI uses 40% of all debt instruments and 35% of all equity investments made in primary markets to calculate household holdings.
Household savings data should also include net flows from ETF trades in the secondary market, in addition to net flows from mutual funds.
The data will include the actual amount invested in REITs and InvITs in the primary and secondary markets. Investment in both goods is not being explored at this time.
Data on AIF investments will be collected between 2024 and 2025.
The data will also contain stock holding information for debt, equity, REITs, InvITs, and MF AUM of investments made by NPISHs.
