Sebi comes with new guidelines to evaluate risk value of gold

The Securities and Exchange Board of India (Sebi), on Monday, came out with a new framework for evaluating risk level of commodities — gold and gold- related instruments — in which mutual funds are permitted to invest on risk-o-meter. In a circular, the markets regulator said it has been decided that investment in such commodities by the mutual fund schemes will be assigned a risk score corresponding to the annualized volatility of the price of such commodities.
 
The annualised volatility will be computed quarterly based on past 15 years' prices of benchmark index of a commodity and risk score