Sebi Unveils FICP Framework to Democratise Fixed‑Income Bonds in India
NEWZA Editorial Team••Source: MoneyControl
NEWZAFinancial Intelligence Feed
⚡ Key Financial Takeaways
Corporate bond market grew from ₹17.5 lakh crore (FY15) to ₹60 lakh crore (Jul‑31 2026) – CAGR ~12%.
FICPs can be individuals or entities with NISM Fixed‑Income certification; they aid OBPPs but cannot hold client funds.
Commission cap of 2.5% of investment value; public comment deadline September 11, 2026.
Expanding Retail Access to Fixed‑Income Securities Sebi’s consultation paper introduces Fixed Income Channel Partners (FICPs) to widen retail participation in the corporate bond market, which has surged from ₹17.5 lakh crore at FY15’s close to ₹60 lakh crore by 31 July 2026. The proposal targets Tier‑II and Tier‑III cities and rural regions, where bond trading remains largely institutional. By enabling online bond platforms (OBPPs) to connect with a broader customer base, Sebi hopes to unlock the ₹46 lakh crore of listed corporate bonds that currently dominate the market.
Role and Restrictions of Fixed Income Channel Partners Eligible FICPs include Indian citizens aged 18+, Class‑12 graduates, and holders of the NISM Series: Fixed Income Securities certification; mutual‑fund distributors registered with AMFI can also apply without an enlistment fee. FICPs will assist OBPPs with client onboarding, KYC, and transaction facilitation, but they are barred from handling client funds, securities, or collecting payments. All client orders must flow directly through the OBPP platform, and FICPs will receive remuneration only from the appointing OBPP, with a strict commission cap of 2.5% of the investment value. Public comments on the framework are invited until 11 September 2026.
