Forward Markets Commission regulation – UPSC Prelims PYQ 2010
In India, which of the following is regulated by the Forward Markets Commission?
- Currency Futures Trading
- Commodities Futures Trading
- Equity Futures Trading
- Both Commodities Futures and Financial Futures Trading
Explanation
Option (b) is correct
- The FMC is the regulatory body of the forwards and futures market in India and is now merged with the Securities and Exchange Board of India (SEBI). Before its merger, the Forward Markets Commission in India played a key role in regulating the commodities derivatives market. In this blog, we will take a close look at the FMC, its function, and its roles.
Answer: (b) Commodities Futures Trading
