SEBI reworks ETF pricing rules effective September 7, 2026
SEBI is shaking things up for ETFs: think equity, debt, and even gold and silver funds.
Starting September 7, 2026, new rules will change how ETF prices are set and traded to better reflect what's actually happening in the market.
SEBI sets ETF prior-day pricing bands
Instead of using an old formula, ETF base prices will be based on the previous day's closing market price, based on the average trading price during the last 30 minutes of trading; if there are no trades in the final 30 minutes, use LTP; if there are no trades at all on T-1, use the latest available closing NAV.
Equity and debt ETFs, excluding Overnight and Liquid ETFs, get dynamic price bands starting at plus or minus 10%, which can stretch to plus or minus 20% after a cooling-off period.
Gold and silver ETFs start with an initial +6% band that can grow in 3% steps after a cooling-off period.
Plus, all exchanges have to sync their price limits so there are no weird gaps between platforms, making trading smoother for everyone.