Question
What is the name of the regulatory body that oversees
the functioning of commodity futures trading in India?Solution
The Forward Markets Commission (FMC) is the regulatory body that oversees the functioning of commodity futures trading in India. The FMC was established in 1953 under the Forward Contracts (Regulation) Act, 1952, to regulate forward trading in commodities. The FMC was merged with the Securities and Exchange Board of India (SEBI) in 2015 to bring commodity futures trading under the ambit of SEBI. However, at the time of writing this, the FMC is still responsible for the oversight of certain aspects of commodity futures trading in India. Hence, option A is correct.
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