New compensation guidelines for key AMC staff

SEBI has come up with new guidelines on the compensation of key employees of asset management companies (AMCs). As per the new guidelines, with effect from July 01, 2021, a minimum of 20 per cent of the salary, perks, bonus or non-cash compensation and any statutory contributions will be paid to key employees in the form of the units of the schemes (except ETFs, index funds, overnight funds and existing closed-end schemes) that they manage or have oversight.