The Multi Commodity Exchange of India Limited (MCX), on December 26, 2025, issued a clarification regarding the distribution of third-party products by its members, with reference to earlier circulars dated June 17, 2025 and December 23, 2025. The Exchange reiterated that stock brokers are not permitted to engage as distributors in lending products such as home loans, vehicle loans, personal loans, education loans, LAS, etc., except those specifically permitted by SEBI from time to time.
MCX has now further clarified that mere references on stock brokers’ apps or platforms to banking products offered by banks or Non-Banking Financial Companies (NBFCs) shall be permitted, provided such references are strictly in the nature of referral arrangements and are in full compliance with the applicable third-party product distribution guidelines.
Members are advised to carefully distinguish between distribution and referral activities, ensure adherence to the prescribed regulatory framework, and align their digital platforms and business practices accordingly to avoid any regulatory non-compliance.
[Circular No. MCX/COMP/667/2025]
