business News

Government and RBI measures to boost foreign investment in government securities led to a bond rally, with benchmark 10-year G-Sec yields softening. Exemptions from long-term capital gains and withholding taxes for FPIs in G-Secs, along with expanded investment options, are seen as positive for the fixed income market.

Leading mutual fund houses, including HDFC, ICICI Prudential, and Nippon India, are temporarily restricting large lump-sum investments in gold ETFs and fund of funds. This move aligns with the government's policy to discourage gold purchases, following an increase in import duty. The restrictions primarily target large investors, with exceptions for authorized participants and market makers, while SIPs remain largely unaffected.