India’s market regulator on Wednesday relaxed rules for so-called angel funds in a bid to boost more investments into the country’s start-ups, in what has been a key initiative under Chairman U.K. Sinha.The regulator allowed angel funds to invest in start-ups that were incorporated five years before the date of investment, compared with the previous limit of three years, and cut the lock-in period to one year from three years.vccircle_sebi_9

SEBI also said listed companies owned by private equity (PE) firms have to seek shareholder approval before entering into performance-based compensation agreements with executives.

SEBI allowed foreign portfolio investors to invest in unlisted debt securities and securitised debt instruments as part of efforts to attract more flows into debt markets, in line with a recent announcement the country’s central bank.