New Delhi, April 15 -- Mutual funds may be allowed to enter various business areas currently out of bounds for them, with the stock market regulator reviewing regulations that govern asset management companies.

The Securities and Exchange Board of India (Sebi) is conducting a major review of mutual fund regulation, which is "the lengthiest of all regulations", executive director Manoj Kumar said. The provision restricting business activities of asset management companies (AMCs) will be particularly in focus.

Regulation 24(b) of Sebi's MF regulations, which limits permissible business activities, is the only clause with 'restriction' in its title, Kumar said at the Confederation of Indian Industry (CII) Mutual Fund Summit on Tuesday. Whi...