Sebi Proposes Relaxations for Investment Advisers and Research Analysts

The markets regulator Sebi has proposed relaxing net-worth, qualification, and experience requirements for investment advisers and research analysts. The aim is to curb unregulated financial influencers and simplify registration for IAs and RAs. Public comments on the proposals are sought until August 26.

The Securities and Exchange Board of India (Sebi) has proposed new regulatory relaxations for investment advisers (IAs) and research analysts (RAs), intended to simplify registration and reduce compliance costs. The proposals aim to counter the rising number of unregulated financial influencers.

Sebi's consultation paper recommends reducing the minimum qualification from a post-graduate to a graduate degree and eliminating the experience requirement for registration. Currently, IAs and RAs must obtain specific certifications from NISM, a condition that remains unchanged. Another key proposal includes abolishing the need for maintaining a minimum net worth and instead suggesting deposits based on the number of clients.

In its ongoing efforts to facilitate investment advisory growth and curb the influence of unregulated entities, Sebi has sought public comments on these proposals until August 26.