Sumit
asked over 3 years ago
Dear Members, My query is whether a private limited company can invest in mutual fund in the company's name. If yes what are the conditions and restrictions or any compliances? Thank you Regards Sumit
CHITRANJAN AGARWAL
answered over 3 years ago
Dear Sumit, If company want to make investment in mutual fund and securities than its can invest in the mutual fund and securities. however if you want to make trading in shares/securities than the company object should be contain this provision in its object clause. However if your total investment amount exceed the paid up capital and free reserve than company must be passe the special resolution in shareholding meeting for conducting such transaction as per the companies act 2014. Any other query feel free to contact us. Writer CA Chitranjan Agarwal
But what is the upper limit of investment for the proper compliances
