SEBI proposes same-day fund netting for FPIs to cut costs

Market regulator SEBI on Friday proposed permitting netting of funds for same-day cash market trades by foreign portfolio investors (FPIs). Under the current framework, FPIs are required to bring in full funds for purchases irrespective of sales on the same day, often leaving FPIs "underinvested" for at least a day. The move aims to reduce the cost of FPIs funding.