Government Employees & Stock Market: New Rules for Trading and Investment Revealed

• Government employees can invest in the stock market for long-term wealth creation, but speculative trading is prohibited.
• Section 16 of the Central Civil Services (Conduct) Rules bans short-term trading activities like intraday, F&O, derivatives, and commodity trading for all government employees.
• Long-term investments (held for at least six months) in shares, mutual funds, ETFs, gold bonds, and RBI bonds are permitted through registered intermediaries.
• Disclosure is required if total investments exceed six months' basic salary; for All India Services officers, specific reporting thresholds apply.
• Employees must avoid illegal activities like insider trading and market manipulation, and ensure no conflict of interest with official duties.