India’s market regulator SEBI has mandated that all regulated entities including brokers, mutual funds, investment advisers, and portfolio managers must prominently disclose their registered name and registration number on the homepage of their social media handles. The move enhances transparency, curbs fraud, and strengthens investor confidence in digital financial communications.
The Securities and Exchange Board of India (SEBI) has introduced new disclosure requirements aimed at improving transparency and investor protection in the digital era. Under the guidelines, SEBI-regulated entities must clearly display their registered name and registration number on the homepage of their social media accounts and ensure these details are visible in all posts, videos, and promotional content.
Key Highlights
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Mandatory Disclosure: Registered name and number must be prominently displayed on social media homepages.
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Applicability: Covers brokers, mutual funds, portfolio managers, investment advisers, research analysts, and other SEBI-regulated entities.
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Fraud Prevention: Helps investors distinguish genuine financial advice from misleading or unregistered sources.
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Transparency Boost: Enhances credibility of digital communication channels used by financial institutions.
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Ease of Doing Investment: Simplifies investor verification and builds trust in online engagement.
This regulatory step reflects SEBI’s proactive approach to safeguarding investors while adapting to the growing influence of social media in financial decision-making.
Sources: SEBI Circulars, Economic Times, Outlook Money, Tax Guru