Ch.3 · Custodian and RTA Functions · medium
What is the 'investment committee' typically found in AMCs?
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EXPLANATION
Most AMCs have an investment committee (not mandated by SEBI but considered best practice) comprising senior fund managers and the CIO. It approves the overall investment strategy, credit limits and approved issuer lists for debt investments, sector concentration limits, and reviews portfolio positioning. This adds an institutional check on individual fund manager decisions.
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