Quick summary
SEBI now permits Foreign Portfolio Investors (FPIs) to submit a Power of Attorney (PoA) that is digitally signed in accordance with the Information Technology Act, 2000. This removes the requirement for notarisation, apostillisation or consularisation, streamlining the FPI onboarding process. The amendment takes effect on 20 August 2026.
Who is affected
- All Foreign Portfolio Investors (FPIs)
- All Designated Depository Participants (DDPs) and Custodians
- All Registrars to an Issue and Share Transfer Agents
- All Depositories
- All recognised Stock Exchanges and Clearing Corporations
- All Intermediaries registered with SEBI under Section 12 of the SEBI Act, 1992
What changes
- Digital PoA acceptance: A PoA executed with a digital signature under the Information Technology Act, 2000 is now accepted.
- Regulatory amendment: Para 9 (B)(iv) of Part B of the FPI Master Circular is modified to include digitally signed PoAs alongside traditional notarised/apostilled versions.
- Process simplification: The need for notarisation, apostillisation or consularisation of PoAs is eliminated, reducing onboarding time.
Action items
1. FPIs: Prepare PoAs using a valid digital signature as per the Information Technology Act, 2000. 2. Custodians & DDPs: Update internal acceptance procedures to recognise digitally signed PoAs. 3. Intermediaries & Exchanges: Ensure compliance systems reflect the amended Para 9 (B)(iv). 4. Documentation: Retain digitally signed PoA copies in accordance with existing record‑keeping requirements.
Key dates‑deadlines
- Effective date: 20 August 2026 - the amendment is operative from this day.
Source reference
SEBI/HO/AFD/AFD-PoD2/P/CIR/P/2024, 20 August 2026
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