Sebi Considers Allowing Foreign Portfolio Investors into Bullion Derivatives

Sebi Explores New Rules to Boost India's Commodity Derivatives Market

Mumbai: The Securities and Exchange Board of India (Sebi) is engaged in preliminary talks with market infrastructure institutions in a bid to enhance India's commodity derivatives market. According to sources close to the matter, Sebi is considering allowing foreign portfolio investors to participate in bullion derivatives trading without being required to physically settle their transactions.

This move is expected to facilitate deeper participation of foreign investors in the Indian commodity derivatives market. By removing the physical settlement requirement, foreign portfolio investors will be able to trade bullion derivatives more freely, potentially leading to increased liquidity and market activity.

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