NEW DELHI: Cracking the whip on unregistered financial influencers (Finfluencers), the capital market regulator, Securities and Exchange Board of India (Sebi) on Friday proposed that no Sebi-registered intermediaries or regulated entities will have any direct or indirect association with unregistered finfluencers.
The market regulator also barred entities registered with or regulated by SEBI stock exchanges or AMFI from sharing any confidential information of their clients with any unregistered entities including finfluencers. The proposal was made in a consultation paper floated on Friday.
Registered finfluencers have also been directed to display their appropriate registration number, contact details, and investor grievance redressal helpline, and make appropriate disclosure and disclaimer on any posts.
“They shall also fully adhere to the code of conduct under the terms of their relevant registration,” proposes the consultation paper. Sebi has also proposed that no referral fee or commission be given to such finfluencers by registered entities.