BANKING AFFAIRS

Detailed explanation-1: -Ans : Infrastructure Debt Funds (IDFs), can be set up either as a Trust or as a Company. A trust based IDF would normally be a Mutual Fund (MF), regulated by SEBI, while a company based IDF would normally be a NBFC regulated by the Reserve Bank.

Detailed explanation-2: -IDF-Institutional Development Fund.

Detailed explanation-3: -As far as mutual funds are concerned, SEBI formulates policies, regulates and supervises mutual funds to protect the interest of the investors. SEBI notified regulations for mutual funds in 1993.

Detailed explanation-4: -IAS Exam Latest Updates Infrastructure Debt Funds (IDFs) are financial entities that direct money into the infrastructure industry. Domestic and offshore institutional investors can invest through units and bonds issued by the IDFs, which are sponsored by commercial banks and NBFCs in India.

Detailed explanation-5: -A debt fund is a mutual fund scheme that invests in fixed income instruments, such as Corporate and Government Bonds, corporate debt securities, and money market instruments etc. that offer capital appreciation. Debt funds are also referred to as Income Funds or Bond Funds.