SEBI regulates the investment advisory services in India
4th July 2020 : The capital market regulator, Securities and Exchange Board of India (SEBI), has amended the SEBI Investment Advisers Regulations 2013 and has said that registered investment advisors must segregate the advisory and distribution activities.
Thus, if your investment advisor is an individual, then she can either offer you investment advisory services or distribution services. If she offers investment advisory to you, then she will charge a fee. And she cannot earn a commission from mutual funds that you eventually invest in, based on her advice.
For non-individual advisors (a corporate or an organisation), the client-level segregation needs to be adhered to at the group level. Through an arm’s length relationship between its activities, the corporate entity may provide advisory services from a separately identifiable department.
Are SEBI Registered Investment Advisors
Mutual Fund Distributors:
Banks or Financial Institutions – Relationship Managers
Independent Financial Advisors or IFA
SEBI Registered Investment Advisors or SEBI RIA
Best Fee Structure of SEBI Registered Investment Advisors:
So are SEBI Registered Investment Advisors worth it?
Inadequate knowledge of the dynamics of investment leads to financial mistakes, investors should evalute themselves and check whether if its the right time to appoint a SEBI registered advisory company.
Confirm if the advisor is registered on the