The National Stock Exchange of India (NSE) began live trading in Electronic Gold Receipts (EGRs) on Monday, allowing investors to buy and sell dematerialised gold in multiples of one gram starting at 9 am IST, according to thehindubusinessline.com.
The platform, launched after Sebi approved the framework in 2021, works like an equity scrip: authorised vaults issue EGRs against physical gold deposits, these receipts are credited to demat accounts, and trades settle on T+1. NSE has empanelled six refiners, including MMTC-PAMP and Augmont, to maintain 995-purity gold in vaults in Mumbai and New Delhi, and roped in 25 trading members such as Zerodha and ICICI Securities for distribution, thehindubusinessline.com reported.
EGRs give retail savers a route to hold gold without storage risk while offering jewellers a transparent hedge; volumes on the first day were thin but brokers expect interest to rise once three-month futures contracts go live. The product competes with the government-run Sovereign Gold Bond and mutual-fund-based Gold ETFs; combined AUM of gold ETFs in India crossed ₹30,000 crore in April, data from thehindubusinessline.com show, signalling a deep addressable market.
NSE plans to extend trading hours to 11:30 pm and add silver EGRs by August, subject to Sebi clearance. The exchange will also publish a daily vault audit report on its website and aims to link the receipts to the existing commodity derivatives segment by October, thehindubusinessline.com added.