In a series of reforms, market regulator SEBI has allowed mutual funds \u201cto allow mutual funds to create segregated portfolios with respect to debt and money market instruments subject to various safeguards\u201d. The creation of segregated portfolios is a mechanism which is followed to separate distressed, illiquid and hard-to-value assets from other more liquid assets in a portfolio. SEBI has also cleared easing of norms to start startup listings. The market regulator also proposed to extend offer-for-sale mechanism to reduce stake in listed firms. It also relaxed putting together of investment limit norms for well-regulated foreign investors, it added. Also read: Share market live updates: Sensex opens 245 pts higher, Nifty above 10,800; Yes Bank share price zooms 4% \u201cThe board also took note of the proposal to review the valuation norms applicable to mutual fund schemes investing in debt and money market instruments,\u201d SEBI said in a statement. Besides, the regulator said that an earlier proposed exercise for determining a uniform bond valuation methodology to be followed by all regulated entities across the financial sector would not be pursued. Among other major announcements, SEBI also said that it has started adjudication against CRAs in the case of IL&FS case. IL&FS and its subsidiaries have defaulted on several debt repayments recently due to liquidity crisis. SEBI Chairman Ajay Tyagi also informed that the regulator has received a whistleblower complaint against Sun Pharma. The body is examining whistleblower complaint before taking any action in Sun Pharma case, he added. The Chairman also said that two whole-time members of SEBI are working on the NSE co-location matter and adjudication in NSE co-location matter has been started against 28-30 members.