Hey Abhinav, ETCDs have been allowed in the regulations since a while now. Some of the ETFs have made provisions others have not. 50% is a regulatory limit, does not mean the limit wold be used. Please also note that ETCDs are exchange traded and settlement guaranteed and can also be physically settled on expiry, so do not see a concern. It can also improve trackability as there is 3% GST component in the ETF which acts as a drag on the fund when compared to physical. Also, enabling ETCDs can have benefits such that on occasions when futures are cheaper than physical, it gives the fund the ability to benefit, finally improving returns for investors. So this is not a concern. Rgds