SEBI proposes to relax rules for ETFs and index funds; to make them more robust
At present, index funds and Exchange-Traded Funds (ETF) cannot invest in listed shares of group companies or sponsor companies in excess of 25 percent of its net assets. This restricts the ability of passive funds that invest in thematic and sector indices. SEBI has now proposed to relax this limit.
Source: moneycontrol.com