SEBI Bans Finfluencers Operating Without Registration as Investment Advisors

The Securities and Exchange Board of India (SEBI) released a circular on January 29 that significantly impacts finfluencers who offer unregistered investment advice while claiming to educate about the stock market.

SEBI now requires that stock-market educators can only reference stock prices that are three months old, which effectively prohibits discussions about current market prices.

This decision comes after SEBI's October 2024 circular, which limited connections between registered and unregistered organizations.

The new measure seeks to reduce misleading financial information and stop illegal advice that pretends to be educational.