Question
The Indian gold investment market is governed by
different authorities based on the product type. Which of the following combinations correctly identifies the primary regulator for Sovereign Gold Bonds (SGB) and Gold Exchange Traded Funds (ETF) respectively?Solution
Sovereign Gold Bonds are government securities issued by the Reserve Bank of India (RBI) on behalf of the Government of India. Conversely, Gold ETFs are structured as mutual funds that invest in physical gold and are strictly regulated by the Securities and Exchange Board of India (SEBI).
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