Consider the following statements, with reference to the Participatory Note (P-note):

1. It is Offshore Derivative Instruments (ODIs) issued by Registered Foreign Portfolio Investors (FPIs)

2. P-notes have Indian stocks as their underlying assets.

3. Though P-note holders have less stringent registration requirements, they have to go through a proper due diligence process of the SEBI.

Which of the above statement is/are correct?

1
1, 2 and 3
2
2 and 3 only
3
1 and 3 only
4
1 and 2 only

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