CURRENT AFFAIRS

Detailed explanation-1: -With the minimum subscription amount for public in Infrastructure Investment Trusts (InvITs) brought down from Rs 1 lakh to the range of Rs 10,000 to Rs 15,000 and the minimum trading lot from 100 units to 1 unit – like Real estate investment trusts (REITs) – InvITs has become accessible to retail investors.

Detailed explanation-2: -Eligibility of REITs 80% of the investment must be made in properties that are capable of generating revenues. Only 10% of the total investment must be made in real estate under-construction properties. The company must have an asset base of at least Rs 500 crores. NAVs must be updated twice in every financial year.

Detailed explanation-3: -The InvITs are regulated by the SEBI (Infrastructure Investment Trusts) Regulations, 2014. SEBI has vide its circular CIR/IMD/DF/55/2016 dated May 11, 2016 provided the detailed guidelines for the public issue of units of InvITs.

Detailed explanation-4: -The minimum subscription from any investor in an initial and follow-on offer is Rs. 50,000 for units of a Real Estate Investment Trust (ReIT) (earlier Rs. Two lakhs) and Rs 1 lakh for units of an InvIT (earlier Rs.