Pushkaraj
406 posts


There's a rule by the RBI. If you have 50% of your assets are "financial assets" (including mutual funds, shares etc but FDs are ok) and "financial" income is more than 50% (dividends, capital gains, interest etc but not FD interest) Then you were supposed to register with the RBI as an NBFC. This creates a problem for a "friends and family" fund structure created as a company. You can pool in money together, and use that to invest - in startups, in public markets, in bonds, whatever. But since most of the income and assets are financial, you need registration with RBI as an NBFC! What RBI has done today is to remove that requirement if you're less than 1000 cr. in assets, and don't have any customer interface or take money from the public. Great to create new funds that are primarily pooled family or friend vehicles in India. This will eventually create competition of us, as a mutual fund, but I would say this: let a 1000 fund managers bloom. India doesn't have as many privately held funds as we should. Our family offices usually invest in each family member's name, separately, because a collective investment would trigger NBFC clauses. A few people that come together to invest shouldn't have to do something as gargantuan as an RBI registration. Very progressive. Early stages yet. But it will benefit the investment attitude in the country.

This is the start of my thread on #Budget2026. Please be aware that I'm prone to dad jokes, meandering segues and in general, commentary that might not enhance your life in any meaningful way whatsoever. I've been doing this a while now, so if you're familiar, welcome back!







"Change is the only constant." Taking this to your heart deeply, has a huge (positive) effect on oneself.
















