Skip to main content
SEBI Proposes Expansion of Vault Managers Rules
Back to Court News
Securities and Exchange Board of Indiafinancial_regulationcommodities

SEBI Proposes Expansion of Vault Managers Rules

October 13, 2026

SEBI proposes to extend Vault Managers Regulations to gold and silver ETFs, bullion derivatives, with uniform custody, insurance, and compliance norms.

SEBI Proposes Expansion of Vault Managers Regulations to Cover Gold, Silver ETFs

SEBI has proposed amending the SEBI (Vault Managers) Regulations, 2021, to bring gold and silver ETFs, bullion derivatives, and associated products under a unified, product-neutral vaulting framework. The proposal mandates standards for custody, physical storage security, insurance coverage, and periodic auditing.

The framework aims to ensure integrity across bullion-backed securities and reduce risks of misrepresentation or short-selling. It applies to both exchange-traded and OTC-linked instruments and requires vault managers to obtain explicit SEBI authorisation.

This is a critical development for commodity ETF sponsors and custody providers. Legal teams must prepare for enhanced due diligence and reporting obligations, particularly in valuation and weight verification processes.

Citations

  • SEBI (Vault Managers) Regulations, 2021 (proposed amendment, 2026)
Practice Areas:financial_regulationcommodities

Related Articles

View All →
SAFEMA Tribunal Upholds PMLA Attachment of Pre-Crime PropertyFeatured
SAFEMA Tribunalpmlafinancial_regulation

SAFEMA Tribunal Upholds PMLA Attachment of Pre-Crime Property

SAFEMA Tribunal affirms PMLA attachment of properties acquired before the offence, treating them as 'proceeds of crime' under Section 2(1)(u) when actual assets are unavailable.

Oct 10, 2026Read more →
RBI Launches ECL Framework for Forward-Looking ProvisioningFeatured
Reserve Bank of Indiabankingfinancial_regulation

RBI Launches ECL Framework for Forward-Looking Provisioning

From April 2027, banks must adopt the RBI’s Expected Credit Loss (ECL) framework, a three-stage provisioning model based on credit risk deterioration and Effective Interest Rate (EIR) calculations.

Oct 7, 2026Read more →
RBI’s 2026 ECL Framework and Future of Bank BailoutsFeatured
Reserve Bank of Indiabankingfinancial_regulation

RBI’s 2026 ECL Framework and Future of Bank Bailouts

RBI’s updated ECL framework enhances early stress recognition; ARC sales and SNFA rules shape resolution pathways, reducing reliance on public bailouts.

Oct 14, 2026Read more →