Sebi Mandates Social Media Transparency for Regulated Entities
Sebi requires entities regulated by it to disclose their registered name and registration number on social media. This step aims to help investors identify content from regulated entities, aiding transparency and protection. New norms will be effective from May 1, 2026.
- Country:
- India
The Securities and Exchange Board of India (Sebi) has introduced a mandate for all its regulated entities and their agents to prominently display their registered names and registration numbers on social media platforms when posting content related to the securities market.
This directive, announced on Thursday, encompasses a wide range of market participants, including stock brokers, mutual funds, asset management companies (AMCs), investment advisers, research analysts, alternative investment funds (AIFs), portfolio managers, and other intermediaries. By distinguishing content uploaded by regulated entities from that of unregistered individuals, the initiative seeks to bolster transparency and investor protection.
The new regulations will be implemented from May 1, 2026, requiring entities with a single registration to display pertinent information directly on their social media handles, while those with multiple registrations must offer a comprehensive web link for registration details. This move aims to streamline investment processes and ensure investor confidence.