Gold, Silver Rate Today Live Updates: Gold, silver prices up; safe haven demand keeps rates steady
Capital markets regulator Sebi on Thursday introduced changes to the method used by mutual fund schemes to determine the value of physical gold and silver holdings, requiring the adoption of polled spot prices released by recognised stock exchanges.
Under the revised framework, the spot prices used to settle physically delivered bullion derivative contracts will serve as the reference for valuing such assets. This replaces the earlier system that relied on benchmark-linked pricing.
According to a Sebi circular, the new rules will come into force from April 1, 2026. “It has been decided that with effect from April 01, 2026…the mutual funds shall value physical gold and silver by using the polled spot prices published by the recognised stock exchanges which are used for settlement of physically delivered gold and silver derivatives contracts,” Sebi stated.
At present, exchange traded funds investing in gold and silver determine the value of their holdings using the London Bullion Market Association’s AM fixing prices. These international benchmarks are then adjusted for exchange rates, freight expenses, import duties, taxes and other charges to derive domestic prices.
The revised approach, introduced in line with the Sebi (Mutual Funds) Regulations, 2026, is intended to align valuations more closely with local market realities while improving consistency and transparency.
The Association of Mutual Funds in India, working together with Sebi, will lay down a standardised framework for implementing the new valuation system.
