SEBI Plans New Rules for Gold, Silver ETFs to Curb Volatility

• SEBI proposes new rules for Gold and Silver ETFs to control market volatility, issuing a consultation paper on February 13, 2026.
• The regulator plans to review the base price and price band of ETFs, seeking public suggestions on the proposal.
• Current rules for most shares have a price band of up to 20%, but this doesn't apply to shares with derivatives or those under surveillance.
• Increased volatility in Gold and Silver ETFs in January 2026 highlighted the inadequacy of existing T-2 day NAV-based price bands.
• New proposals include an initial price band of +/-10% for Equity/Debt ETFs and +/-6% for Gold/Silver ETFs, with potential expansion to +/-20% and a 15-minute cooling-off period.