FME / Entity Services
Establish a compliant and fully operational presence in India with our FME / Entity Setup Services.
Enquiry Form
1950
+
Fund
Entities
0
+
Jurisdictions Served
$
0
B
Fund Assets
Managed
200
+
Global
Professionals
1800
+
Fund
Entities
0
+
Jurisdictions
Served
$
0
B
Fund Assets
Managed
200
+
Global Professionals
We support funds to establish and operate in India with end-to-end structuring, licensing, and regulatory compliance.
FME / Entity Services is a significant enabler for funds and financial entities looking to establish and operate within India’s IFSC ecosystem, offering multiple benefits for businesses entering global financial markets. We offer personalised services, right from entity formation and incorporation process, to compliance to guide funds and entities in establishing, running and developing in this dynamic economic zone.
Service Areas Within FME / Entity Services
Set up and Compliance
We assist in navigating the entire process of incorporating entity, applying for SEZ & IFSCA, statutory registration and secretarial, FEMA and regulatory compliance thereafter.
Tax and Transfer Pricing
Our team provides direct and indirect tax advisory, transfer pricing documentation, international tax, cross-border structuring and end-to-end litigation support services.
Finance and Risk
We offer CFO support, financial controllership services, internal audit, risk management frameworks, IFSCA regulatory reporting, treasury and financial planning assistance.
Cybersecurity and Privacy
We assist entities in evaluating cyber risks, establishing data privacy frameworks, enhancing the IT governance, performing IT security audits, and providing a comprehensive cyber resilience support.
Payroll and HR
We process payroll, manage HR compliance and labour law requirements, support salary tax calculations and offer operational support to ensure effective and compliant HR practices.
Fund Services
We provide fund setup and IFSCA registration, fund administration, NAV computation, investor onboarding, governance reporting and compliance services for FME / PMS entities.
Ascentium Insights
Frequently Asked Questions
What are the Fund Management Entities (FME)?
An FME is a company licensed by the IFSCA for fund management activities in the IFSC in India. It is the legal structure under which Asset Managers establish and operate investment funds in foreign currency, including AIF, VC Fund, PMS and Retail Fund.
Who can create an FME in India?
Any entity meeting IFSCA criteria, including family offices, institutional investors, and global fund managers is eligible to apply. The Fund Management Entity (FME) may be structured as a standalone company, a Limited Liability Partnership (LLP), or a branch of an existing regulated organisation, contingent upon the nature of its operations.
What is the eligibility criteria to register an FME?
Applicants must demonstrate financial soundness, maintain a clean regulatory track record, and possess professional competence as defined by IFSCA. Key Management Personnel (KMPs) must hold appropriate qualifications and demonstrate at least five years of relevant industry experience.
What are the different types of fund structures that can be created under an FME?
An FME can launch and manage AIFs (Category I, II, and III), venture capital funds, family investment funds, portfolio management services, and retail funds or ETFs. The FME needs to implement operations after receiving scheme-level authorisation from IFSCA under the Fund Management Regulations for each structure.
What are the major compliance requirements for an FME?
An FME is required to maintain and update its PPM, report periodically to IFSCA, conduct annual audits, file FATCA/CRS disclosures, maintain AML/KYC records, comply with SEZ filing requirements (SERF, MPR, APR) and comply with FEMA for cross-border transactions. Reports on the annual funds must be submitted within 4 months of the end of the financial year.
What are the tax benefits an FME gets in India's IFSC?
FMEs operating in IFSC enjoy various tax exemptions, including 100% income tax exemption on any 10 years in the first 15 years of operation, no dividend distribution tax, no MAT for entities under the new tax regime, no GST on supplies to IFSC entities, and exemption from customs duty on imports for authorised operations.
What are the services provided to support funds in establishing an FME in India?
We assist with end-to-end support for set up of FME solutions, including structuring of entities, entity incorporation, IFSCA registration, drafting of PPM, authorisation of the scheme, corporate secretarial and compliance running. Our experts advise FMEs on IFSCA, SEZ, FEMA and AML/KYC requirements to ensure it is up and running and fully compliant from the start.
