Banks to revamp p-note business model
Post the revamp of the ‘Know Your Client’ rules and introduction of a more stringent anti-money laundering rules besides the changes in tax treaties with p-note disposed nations like Mauritius and Singapore, the inclination towards investing in participatory note (p-notes) has significantly declined. While, the banks that issue p-notes are renovating their business model to counter the immense changes.Nifty Future Tips
Most of the banks are concentrating on the funding or financing component of businesses, while overlooking the non-leverage aspect of the p-note business.
P-notes were largely used by big investors to get exposure to the Indian stocks anonymously.