Mumbai, March 9 -- The Securities and Exchange Board of India (SEBI) has allowed actively managed equity mutual funds to invest part of their residual allocation in gold and silver instruments.

The limit is up to 35% of assets and also includes units of infrastructure investment trusts.

This expands the range of non-equity assets available to fund managers.

Under the revised framework, equity schemes can deploy surplus allocations beyond core equity exposure into precious metals.

These investments will typically be made through ETFs or related instruments. Earlier, this portion of the portfolio was largely parked in cash, liquid securities, or money-market instruments.

The change gives fund managers an additional tool to manage volat...