Since the second half of last financial year, already close to 30 new equity offers have hit the market and garnered a reasonable sum of about Rs 4,000 crore from investors. Further, many came months before the current market rally and could reap on the improved sentiments.

According to sector executives, earlier it used to take at least 6-8 months to get approvals for new fund offers. Now, it has reduced to 2-3 months, they add. "There have been times when none of our proposals could get Sebi's go ahead. The regulator used to raise lot of issues with tight norms in place," says a CEO of mid-sized fund house.

Sundeep Sikka, CEO of Reliance Mutual Fund, said: "Sebi has become quite efficient." According to H N Sinor, chief executive at industry body Association of Mutual Funds in India (Amfi), Sebi has been asking industry to do service to customers. "Same way we are also customers to Sebi and needed service. Though still there have been some issues, largely administrative ones, but overall things are better than before."

Interestingly, feeling is mutual from the regulator's perspective too. U K Sinha, chairman, Sebi, recently said, "For the last one-and-a-half year, Amfi has run short of ideas about their demands with Sebi." These comments indicate that relation between the industry and the regulator is quite smooth compared with the years of friction which existed earlier.

Sinha, too, is full of praise for the industry especially when it comes to the equity assets under management (AUM). According to the regulator, proportion of equity assets outperforming their respective benchmarks has improved significanly over the last one year. For instance, on a three and five years basis 85% of equity assets have outperformed the benchmarks. Last year, the numbers stood at 74% and 77%, respectively.

Product head at one of India's largest fund houses, said: "It is not so that the regulator has become lenient in clearing our proposals. Stringent processes remain as they were, but there is clear change in the way Sebi used to function in approving our draft proposals. If our offers test successfully Sebi's norms and regulations, there is no hurdle and time consumption comes down dramatically."

Another national sales head in the industry agrees. "People we are dealing with Sebi are not the same as we had earlier. We can see better, straight forward and efficient officials who know what their work is. There is lot more interactions with them on the subject. But, in case our product proposal do not go as per their set guidelines, it is not surprising to see it taking longer time," he said on condition of anonymity.