Sebi Proposes Regulatory Framework for Significant Market Indices Based on AUM Threshold

The Securities and Exchange Board of India (Sebi) has proposed a regulatory framework to classify market indices as 'Significant Indices' if tracked by domestic mutual fund schemes with cumulative assets under management (AUM) exceeding ₹20,000 crore. The AUM will be calculated using the daily average over six months, assessed biannually. This aims to enhance transparency and governance of index providers. Providers of such indices must register with Sebi, except those regulated by the Reserve Bank of India. Public comments are invited until January 30.