SEBI Cracks Down on Unregulated Financial Influencers
To address concerns about misleading advice, the Securities and Exchange Board of India (SEBI) has tightened regulations on financial influencers (finfluencers) who aren't registered with them.
SEBI is now prohibiting registered entities (like brokers and mutual funds) and their agents from any association with these unregistered finfluencers. This association includes financial advice, performance claims, and even business dealings. Importantly, the responsibility falls on the registered entities to make sure anyone they work with follows these new rules.
This crackdown aims to protect investors from potentially biased or misleading information.
How do you think this changes the game for Finfluencers? You can share your take on the thread by replying to this email.
* The announcement by SEBI
The persons regulated by the Board and the agents of such persons shall not have any association, like, any transaction involving money or money’s worth, referral of a client, interaction of information technology systems or any other association of similar nature or character, directly or indirectly, with any other person who, directly or indirectly, provides advice or recommendation or makes any implicit or explicit claim of return or performance, in respect of or related to security or securities unless permitted by the Board to provide such advice/ recommendation/claim.
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R.I.P. India's Finfluencers
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SEBI Cracks Down on Unregulated Financial Influencers
To address concerns about misleading advice, the Securities and Exchange Board of India (SEBI) has tightened regulations on financial influencers (finfluencers) who aren't registered with them.
This crackdown aims to protect investors from potentially biased or misleading information.
How do you think this changes the game for Finfluencers? You can share your take on the thread by replying to this email.
* The announcement by SEBI
The persons regulated by the Board and the agents of such persons shall not have any association, like, any transaction involving money or money’s worth, referral of a client, interaction of information technology systems or
any other association of similar nature or character, directly or indirectly, with any other person who, directly or indirectly, provides advice or recommendation or makes any implicit or explicit claim of return or performance, in respect of or related to security or securities unless permitted by the Board to provide such advice/ recommendation/claim.