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SEBI signals banks and insurers will not be allowed to trade commodity derivatives
Business
Published on 4 May 2026
Why banks and insurers face a hard stop
SEBI chairman said banks and insurance companies will not be allowed to invest in commodity derivatives. The regulator had earlier discussed allowing pension funds to trade commodities, but that decision has not been disclosed. The stance immediately hit sentiment, with shares of the Multi Commodity Exchange of India falling after the development.
- SEBI will not allow banks and insurers into commodity derivatives
- A pension-fund commodities plan was explored, but details remain unclear
- The statement dragged sentiment for Multi Commodity Exchange of India shares
- Regulator stance tightens participation in commodity derivative markets
Read the full story at The Economic Times
This summarization was done by Beige for a story published on 
The Economic Times