SEBI Mandates Regulated Entities to Disclose Registration Numbers on Social Media Platforms from May 1

In a decisive measure to enhance digital transparency and protect retail investors, the Securities and Exchange Board of India (SEBI) has mandated that all regulated market intermediaries and their agents must prominently disclose their official registered name and SEBI registration number across social media platforms.

Issued as part of SEBI's "Ease of Doing Investment" (EoDI) framework, the circular will come into effect from May 1, 2026, applying to all content published on or after that date.

Broad Scope Across Intermediaries and Channels

The regulatory directive encompasses virtually all institutions registered under Section 12 of the SEBI Act, 1992. The mandate covers:

• Stockbrokers and depository participants
• Mutual funds and asset management companies (AMCs)
• Portfolio managers and Portfolio Management Service (PMS) distributors
• Investment advisers (IAs) and research analysts (RAs)
• Alternative Investment Funds (AIFs), Real Estate Investment Trusts (REITs), and Infrastructure Investment Trusts (InvITs)
• Mutual fund distributors and other authorized agents

SEBI has adopted an expansive definition of social media, covering open broadcasting channels as well as closed and semi-closed digital groups. Regulated entities must adhere to these compliance norms across platforms including YouTube, Instagram, Facebook, WhatsApp, X (formerly Twitter), LinkedIn, Telegram, Reddit, and Threads.

Strict Posting and Profile Guidelines

Under the new circular, market participants must observe precise formatting and placement requirements depending on their operational structure:

Single Registration Holders: Intermediaries holding a single SEBI registration must display their registered legal name and SEBI registration number prominently on the homepage or profile bio of their social media handle. In addition, the credentials must appear right at the beginning of every video, written post, graphic, or market commentary shared on the platform.

Multiple Registration Holders: Entities holding multiple licenses—such as entities operating simultaneously as stockbrokers, portfolio managers, and investment advisers—must place a direct weblink on their profile homepage. This link must redirect users to an official website page that lists all their registered names and SEBI registration numbers. However, when publishing individual posts or videos, the entity needs to state only the specific registration under which the immediate advice or analysis is being issued.

Obligations for Agents and Distributors: Distributors and authorized agents must disclose the registered name and registration number of the principal entity they represent, followed immediately by their own registration credentials. For agents representing multiple principals, a website link listing all relevant affiliations must be provided on their social media homepages.

Safeguarding the Retail Investor

The proliferation of digital channels in recent years has seen a surge in unsolicited stock recommendations, pump-and-dump operations, and misleading financial advice shared by unregistered creators. By requiring immediate verification details upfront on every post, SEBI intends to ensure that investors can verify credentials before acting on market commentary, significantly raising the compliance bar for digital financial promotions across India.

Tags: SEBI Social Media Stockbrokers Mutual Funds Investment Advisers Capital Markets