International Financial Services Centres Authority (“IFSCA”) in exercise of powers conferred under Section 12 of the International Financial Services Centres Authority Act, 2019 vide Circular No. F. No. 51/IFSCA/PFPS0ANCI/1/2020-21,[1] dated April 17, 2025, amended the ‘Framework for enabling Ancillary Services at International Financial Services Centres’ originally notified via Circular No. 206/IFSCA/Anc. Aux/2020-21 dated February 10, 2021 (“Ancillary Services Framework”). The amendments made to the Ancillary Services Framework shall come into effect immediately.
Key Highlights of the Amendment are as follows:
Clause 4.3 of Annexure I of the Ancillary Services Framework, has been substituted to broaden the scope of ‘Trusteeship Services’. The revised clause now includes:
- Trusteeship services may be offered in connection with Alternative Investment Funds, Investment Trusts, Family Investment Funds (FIFs), Security Trust arrangements, and other related services. This includes acting as an escrow agent. Herein, ‘Investment Trust’shall refer to structures such as Infrastructure Investment Trusts (InvITs), Real Estate Investment Trusts (REITs), or any other similar trust-based structures.
- Trusteeship services may also be extended to various schemes, including retail schemes launched by Fund Management Entities (FMEs) registered under the IFSCA (Fund Management) Regulations, 2025. These services are subject to compliance with the ‘fit and proper’ criteria, code of conduct, and other applicable requirements as specified under the said regulations.
[1] https://ifsca.gov.in/Viewer?Path=Document%2FLegal%2Fcircular-on-amendment-to-ifsca-s-ancillary-services-framework-202117042025105436.pdf&Title=Amendment%20to%20the%20circular%20titled%20%E2%80%9CFramework%20for%20enabling%20Ancillary%20Services%20at%20International%20Financial%20Services%20Centres%22&Date=17%2F04%2F2025