‘MFs can trade in commodity derivatives’

May 21, 2019 10:11 pm | Updated 10:11 pm IST - MUMBAI

The Securities and Exchange Board of India (SEBI) has given the go-ahead to mutual funds (MFs) to participate in the commodity derivatives segment.

In a circular issued on Tuesday, the regulator said that MFs can trade in exchange-traded commodity derivatives except those that have been defined as ‘sensitive commodities.’

MFs have been permitted to participate in the commodities segment through hybrid schemes that include multi-asset scheme and gold exchange traded funds (ETFs). Fund houses have also been directed to appoint a dedicated fund manager with requisite skill and experience in commodities market before participating in the commodities segment

Top News Today

Sign in to unlock member-only benefits!
  • Access 10 free stories every month
  • Save stories to read later
  • Access to comment on every story
  • Sign-up/manage your newsletter subscriptions with a single click
  • Get notified by email for early access to discounts & offers on our products
Sign in


Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.

We have migrated to a new commenting platform. If you are already a registered user of The Hindu and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.