NCDEX Received In-Principle Approval from SEBI to Float Mutual Fund Platform

The National Commodity and Derivatives Exchange (NCDEX) have received in-principle approval from the Securities and Exchange Board of India (SEBI) to launch a mutual fund (MF) transaction platform, marking the first step in its planned expansion into equity and equity derivatives.

NCDEX Management Take on Mutual Funds Approval

NCDEX stated that the MF platform will function independently of its equity trading systems, enabling a quicker rollout. Clearing and settlement of mutual fund subscriptions and redemptions will be managed by National Commodity Clearing Limited (NCCL), a wholly owned subsidiary of NCDEX.

“Launching a mutual fund platform ahead of our equity segment is a strategic move,” said Arun Raste, Managing Director and CEO of NCDEX. He noted that mutual funds provide an accessible entry point for investors and help channel savings into regulated investment avenues.

Objective of Mutual Funds Platform

The exchange highlighted that the platform aims to broaden access to mutual fund investments, especially in rural and semi-urban areas, through features such as low-denomination systematic investment plans (SIPs). It is also expected to support existing trading members by creating an additional revenue stream and to establish a cash-market base before the launch of the equity segment.

This initiative aligns with regulatory efforts to enhance participation in the capital markets. Mutual funds allow investors to make relatively small contributions while gaining exposure to professionally managed, diversified portfolios under a SEBI-regulated, exchange-operated framework.

Also Read: What Are the Factors Driving Equity Mutual Funds Inflows in November 2025

About NCDEX

Founded in 2003, NCDEX is a SEBI-regulated exchange primarily focused on commodity derivatives, particularly in agricultural commodities. The exchange has outlined plans to expand into equities and equity derivatives as part of its broader strategy to become a multi-segment trading platform.

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