Infrastructure Investment Trusts
Recently, state-owned PowerGrid Corp of India Ltd launched the public offer of the first Infrastructure Investment Trusts (InvITs) ever by a PSU.
About InvITs
- An InvIT is a collective investment scheme, just like a mutual fund, and is set up in the form of a trust.
- Typically, such a vehicle is designed to pool money (small sums) from several investors to be invested in income-generating assets.
- InvITs could be set up for sectors defined under the infrastructure as per RBI guidelines.
- In India, InvITs are governed by SEBI (Infrastructure Investment Trusts) (Amendment) Regulations, 2016.
Benefits
- Predictable and Stable Cash Inflows: ....
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