Description

NSE temporarily suspends fresh subscriptions, SIPs, STPs and lump sum investments in Mahindra Manulife Asia Pacific REITs FOF to avoid breach of overseas investment limits.

Summary

NSE has temporarily suspended fresh subscriptions, SIPs, STPs and lump sum investments in Mahindra Manulife Asia Pacific REITs FOF on the NSE MF Invest Platform effective July 31, 2025. This precautionary measure aims to prevent breach of RBI overseas investment limits. Redemptions, SWPs, switch-outs and STP-outs remain unaffected.

Key Points

  • Temporary suspension affects Mahindra Manulife Asia Pacific REITs FOF scheme only
  • Fresh subscriptions, SIPs, STPs and lump sum investments are suspended
  • Redemptions, Systematic Withdrawal Plans (SWP), switch-out and STP-out transactions continue normally
  • Suspension is precautionary to avoid breach of overseas investment limits
  • Switch-out/STP transactions where the scheme was target may still be processed if initiated before effective date

Regulatory Changes

This follows previous SEBI communications from January 28, 2022 and AMFI communication from January 30, 2022 regarding overseas investment limits. SEBI letter dated June 17, 2022 had previously allowed resumption with headroom limits based on February 1, 2022 EOD levels.

Compliance Requirements

  • NSE members must comply with immediate suspension of fresh subscriptions
  • Existing systematic transactions initiated before July 31, 2025 may continue processing
  • Fund house must monitor overseas investment limits to prevent regulatory breach

Important Dates

  • July 31, 2025: Effective date of suspension
  • August 12, 2025: NSE circular notification date
  • February 1, 2022: Reference date for overseas investment headroom calculation

Impact Assessment

Medium impact limited to investors seeking fresh investments in this specific REIT FOF scheme. Existing investors can continue redemptions and systematic withdrawals. The suspension is temporary and will be lifted when headroom becomes available or regulatory limits are enhanced. This affects portfolio diversification options for investors seeking Asia Pacific REIT exposure through mutual funds.

Impact Justification

Affects specific mutual fund scheme investors but limited to one fund house and one scheme