SEBI clears norms for gold exchanges

The regulator has approved the framework for spot trading of gold in India.
Existing stock exchanges will be allowed to provide the platform for trading of EGRs, SEBI
Under the framework, so-called vault managers can accept gold deposits and issue securities called electronic gold receipts (EGRs).
These EGRs can be traded as any other securities (like stock options or stock futures) in exchanges as a separate segment.
Exchanges can decide the denomination of the EGRs.
Investors can hold the EGRs as long as they wish or convert it to the underlying gold by surrendering the instrument to any vault manager.