SEBI’s Latest Amendments for Research Analysts

SEBI’s Latest Amendments for Research Analysts. The stock market and investing can be confusing, especially for people who depend on expert advice to decide where to put their money. That’s where Research Analysts (RAs) help. They study companies' stocks, make research reports, and suggest whether to buy, sell, or hold a particular financial instrument. In India, Research Analysts are regulated by SEBI (Securities and Exchange Board of India) under the rules Securities and Exchange Board of India (Research Analysts) Regulations, 2014..
SEBI came with some important amendments to the rules for Research Analysts in December 2024. These amendments aim to make things more clear and safer for investors. The goal is to raise trust, transparency and to promote a healthy code of conduct, especially people who work as part-time analysts, those who use AI tools for advice, and those who share research reports. 
Who Is a Research Analyst?
As per the latest SEBI amendment in December 2024, a Research Analyst means a person who, for consideration, is engaged in the business of providing research services and includes a part-time research analyst; 
This also includes people who prepare or share research reports, trading calls, model portfolios, price targets, or opinions about public offers. Even if they do this part-time or along with some other job or business, they are considered Research Analysts. So, anyone giving stock advice—whether through reports, social media, or apps—now comes under SEBI’s definition.
SEBi Research Analyst (RA) Registration - Is it Mandatory?
SEBI has made it clear that no one can recommend or provide the research report regarding any financial assets unless registered as Research Analyst with SEBI. Whether you're a full-time or part-time analyst, or even if you're based outside India but provide research on Indian-listed securities, you must register under these regulations.
This means that if someone is giving advice regarding any financial instrument on any platform whether it is social media or any personal platform and is earning money from it, they are also need to register as a research analyst with SEBI.
Key Changes Introduced in the 2024 Amendment
1. Part-Time Research Analysts
Earlier, only full-time analysts were directly defined. Now, part-time analysts—those who are involved in other jobs or businesses along with research services—are clearly recognized. They are allowed to operate only if registered and must now mention their part-time status in every communication with clients. Additionally, the number of clients a part-time RA can serve is only 75.
2. Definition of ‘Research Services’ Expanded
The term "research services" now includes everything from research reports to trading calls, model portfolios, price targets, and even AI-generated suggestions. This helps SEBI regulate a broader set of activities and protect investors from misleading content.
3. Use of AI Must Be Disclosed
SEBI’s new rules now require analysts and research firms to disclose the quantum of Artificial Intelligence (AI) used to generate reports or advice. They must also take full responsibility for the output, its accuracy, client data safety, and regulatory compliance. This is especially relevant in today’s digital age where AI-based tools are being used to generate quick stock recommendations.
4. Record-Keeping
SEBI has made record-keeping rules more strict for Research Analysts to improve transparency and protect investors. Now, every Research Analyst must keep proper records of the research reports they prepare, the advice they give, and the reasons behind their recommendations. They also have to maintain a list of clients, their PAN numbers, services provided, fees charged, and copies of all communication like emails and call recordings. These records must be stored safely—either in paper or digital form—for at least five years. If stored digitally, the records should be properly signed. This helps SEBI check whether the analyst is giving fair and honest advice.
5. Educational and Certification Requirements
Now, even the people associated with research services, such as sales or client managers, need to meet minimum educational qualifications—a graduate degree in Finance, Economics and in related fields is mandatory. Analysts must hold a valid NISM Research Analyst Certification XV Series. 
6. Group-Level Restrictions
To avoid conflict of interest, if an individual analyst provides research services, their family members cannot offer distribution (mutual fund or insurance selling) to the same client. Also, non-individual entities like companies must ensure that research and distribution are client-level separated. This means:

If a client is receiving paid research services, they cannot be sold financial products from the same group.

This ensures there’s no conflict of interest in advice and selling.

7. Dispute Resolution and Investor Grievance
SEBI now requires analysts to participate in a formal dispute resolution system, which includes arbitration and conciliation. If an investor complains, the analyst has to resolve the grievance within 21 days. SEBI may also assign this task to a recognized agency for better monitoring.
8. Compliance Officer Requirement
All non-individual research entities must appoint a compliance officer or professional as a compliance officer (like a CA, CS or CMA with a NISM certificate) to ensure proper regulatory adherence. This officer helps ensure the entity’s advice is fair, transparent, and within SEBI’s framework.
Why Are These Changes Important?
These changes are important because they help protect investors and make the work of Research Analysts more transparent and clear. In today’s world, many people give stock advice online or through social media, and sometimes it can be misleading or biased. With the new SEBI rules introduced in December 2024, there is more control over who can give financial advice and how they do it. By making registration, qualification, proper disclosures, and record-keeping mandatory, SEBI ensures that investors get advice only from trained and responsible people. These changes also reduce conflicts of interest and make the entire system more trustworthy.
SEBI ensures that only qualified individuals who have cleared the NISM XV series provide Research-related recommendations and by requiring disclosures, it becomes easier for investors to make informed decisions.
Final Thoughts
With these latest amendments, SEBI has taken a strong step toward modernizing the regulation of Research Analysts in India. It recognizes today’s changing dynamics—where social media, AI tools, and online trading platforms are transforming how people invest.
Whether you are a full-time analyst, a part-time expert, a content creator giving stock tips, or a fintech startup offering model portfolios, you now need to be registered under SEBI and follow SEBI’s rules and for investors, it’s a welcome change as they get advice that’s better regulated, more transparent, and hopefully safer.
If you are considering becoming a research analyst or want to check if someone is properly registered, always visit SEBI’s website or consult with Compliance Calendar experts. To book a consultation with the experts you can email us at info@ccoffice.in or Call/Whatsapp at +91 9988424211.

The stock market and investing can be confusing, especially for people who depend on expert advice to decide where to put their money. That’s where Research Analysts (RAs) help. They study companies' stocks, make research reports, and suggest whether to buy, sell, or hold a particular financial instrument. In India, Research Analysts are regulated by SEBI (Securities and Exchange Board of India) under the rules Securities and Exchange Board of India (Research Analysts) Regulations, 2014..

SEBI came with some important amendments to the rules for Research Analysts in December 2024. These amendments aim to make things more clear and safer for investors. The goal is to raise trust, transparency and to promote a healthy code of conduct, especially people who work as part-time analysts, those who use AI tools for advice, and those who share research reports.

Who Is a Research Analyst?

As per the latest SEBI amendment in December 2024, a Research Analyst means a person who, for consideration, is engaged in the business of providing research services and includes a part-time research analyst;

This also includes people who prepare or share research reports, trading calls, model portfolios, price targets, or opinions about public offers. Even if they do this part-time or along with some other job or business, they are considered Research Analysts. So, anyone giving stock advice—whether through reports, social media, or apps—now comes under SEBI’s definition.

SEBi Research Analyst (RA) Registration - Is it Mandatory?

SEBI has made it clear that no one can recommend or provide the research report regarding any financial assets unless registered as Research Analyst with SEBI. Whether you're a full-time or part-time analyst, or even if you're based outside India but provide research on Indian-listed securities, you must register under these regulations.

This means that if someone is giving advice regarding any financial instrument on any platform whether it is social media or any personal platform and is earning money from it, they are also need to register as a research analyst with SEBI.

Key Changes Introduced in the 2024 Amendment

1. Part-Time Research Analysts

Earlier, only full-time analysts were directly defined. Now, part-time analysts—those who are involved in other jobs or businesses along with research services—are clearly recognized. They are allowed to operate only if registered and must now mention their part-time status in every communication with clients. Additionally, the number of clients a part-time RA can serve is only 75.

2. Definition of ‘Research Services’ Expanded

The term "research services" now includes everything from research reports to trading calls, model portfolios, price targets, and even AI-generated suggestions. This helps SEBI regulate a broader set of activities and protect investors from misleading content.

3. Use of AI Must Be Disclosed

SEBI’s new rules now require analysts and research firms to disclose the quantum of Artificial Intelligence (AI) used to generate reports or advice. They must also take full responsibility for the output, its accuracy, client data safety, and regulatory compliance. This is especially relevant in today’s digital age where AI-based tools are being used to generate quick stock recommendations.

4. Record-Keeping

SEBI has made record-keeping rules more strict for Research Analysts to improve transparency and protect investors. Now, every Research Analyst must keep proper records of the research reports they prepare, the advice they give, and the reasons behind their recommendations. They also have to maintain a list of clients, their PAN numbers, services provided, fees charged, and copies of all communication like emails and call recordings. These records must be stored safely—either in paper or digital form—for at least five years. If stored digitally, the records should be properly signed. This helps SEBI check whether the analyst is giving fair and honest advice.

5. Educational and Certification Requirements

Now, even the people associated with research services, such as sales or client managers, need to meet minimum educational qualifications—a graduate degree in Finance, Economics and in related fields is mandatory. Analysts must hold a valid NISM Research Analyst Certification XV Series.

6. Group-Level Restrictions

To avoid conflict of interest, if an individual analyst provides research services, their family members cannot offer distribution (mutual fund or insurance selling) to the same client. Also, non-individual entities like companies must ensure that research and distribution are client-level separated. This means:

If a client is receiving paid research services, they cannot be sold financial products from the same group.
This ensures there’s no conflict of interest in advice and selling.

7. Dispute Resolution and Investor Grievance

SEBI now requires analysts to participate in a formal dispute resolution system, which includes arbitration and conciliation. If an investor complains, the analyst has to resolve the grievance within 21 days. SEBI may also assign this task to a recognized agency for better monitoring.

8. Compliance Officer Requirement

All non-individual research entities must appoint a compliance officer or professional as a compliance officer (like a CA, CS or CMA with a NISM certificate) to ensure proper regulatory adherence. This officer helps ensure the entity’s advice is fair, transparent, and within SEBI’s framework.

Why Are These Changes Important?

These changes are important because they help protect investors and make the work of Research Analysts more transparent and clear. In today’s world, many people give stock advice online or through social media, and sometimes it can be misleading or biased. With the new SEBI rules introduced in December 2024, there is more control over who can give financial advice and how they do it. By making registration, qualification, proper disclosures, and record-keeping mandatory, SEBI ensures that investors get advice only from trained and responsible people. These changes also reduce conflicts of interest and make the entire system more trustworthy.

SEBI ensures that only qualified individuals who have cleared the NISM XV series provide Research-related recommendations and by requiring disclosures, it becomes easier for investors to make informed decisions.

Final Thoughts

With these latest amendments, SEBI has taken a strong step toward modernizing the regulation of Research Analysts in India. It recognizes today’s changing dynamics—where social media, AI tools, and online trading platforms are transforming how people invest.

Whether you are a full-time analyst, a part-time expert, a content creator giving stock tips, or a fintech startup offering model portfolios, you now need to be registered under SEBI and follow SEBI’s rules and for investors, it’s a welcome change as they get advice that’s better regulated, more transparent, and hopefully safer.

If you are considering becoming a research analyst or want to check if someone is properly registered, always visit SEBI’s website or consult with Compliance Calendar experts. To book a consultation with the experts you can email us at info@ccoffice.in or Call/Whatsapp at +91 9988424211.