New Delhi, Sept. 15 -- In a move expected to enhance investment in India's property sector, theSecurities and Exchange Board of India(SEBI) has reclassifiedReal Estate Investment Trusts(REITs) as "equity" for mutual fund investments.

The change has been made through amendments to theSEBI (Mutual Funds) Regulations, 1996.

Until now, REITs andInfrastructure Investment Trusts(InvITs) were grouped under the "hybrid" category due to their stable cash flows and lower liquidity.

Treating REITs as equity brings them in line with global practices where they are part of equity indices. This is expected to attract greater institutional participation and retail interest.

Industry bodies have welcomed SEBI's decision. TheIndian REITs Associationca...