Markets regulator relaxes new exchange-traded funds' framework
Clause 2(IV)(A) under the new framework mandates all purchase and redemption orders directly placed with the fund house have to be greater than Rs 25 crore
 "Markets regulator relaxes new exchange-traded funds' framework")
premium
The markets regulator has deferred implementation of a key clause in the new framework on exchange-traded funds that came into effect this month.
Clause 2(IV)(A) under the new framework mandates all purchase and redemption orders directly placed with the fund house have to be greater than Rs 25 crore.
Those below this threshold have to mandatorily take place on the stock exchange platform.
“Feedback was received from stakeholders expressing certain challenges with respect to implementation of the above clause. Considering the same, it has been decided that the applicability of Clause 2(IV)(A) of the circular shall be November 1,” it said in a circular.
One subscription. Two world-class reads.
Already subscribed? Log in
Subscribe to read the full story →*Subscribe to Business Standard digital and get complimentary access to The New York Times
Smart Quarterly
₹900
3 Months
₹300/Month
SAVE 25%
Smart Essential
₹2,700
1 Year
₹225/Month
*Complimentary New York Times access for the 2nd year will be given after 12 months
Super Saver
₹3,900
2 Years
₹162/Month
Subscribe
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
SAVE 25%