SEBI RA Registration Process & Fees after 3rd Amendment Regulations, 2024

SEBI RA Registration Process & Fees after 3rd Amendment Regulations, 2024 . The Securities and Exchange Board of India (SEBI) regulates Research Analysts (RA) to check transparency, protect investors, and uphold integrity in securities research, the SEBI (Research Analysts) Regulations, 2014, govern the registration, qualification, and conduct of RAs in India and through this article Compliance Calendar LLP will provide a detailed overview of the RA (SEBI) registration process, key requirements, and notable amendments introduced over the years. On 16-12-2024, the Securities and Exchange Board of India (‘SEBI’) notified the SEBI (Research Analysts) (Third Amendment) Regulations, 2024 to amend the SEBI (Research Analysts) Regulations, 2014. The Regulations came into force on the day of its publication in the Gazette, i.e., 16-12-2024.
On and from the commencement of these regulations, no person shall act as a research analyst or research entity or hold itself out as a research analyst unless he has obtained a certificate of RA registration from the (SEBI) Board under these regulations. No person or entity may act as a research analyst without a SEBI registration. Under the SEBI (Research Analysts) Regulations, 2014, as amended in 2024, the minimum qualifications for directors or partners of LLPs/firms (engaged in research activities) are outlined in Regulation 7.
Who will be the PO (“Principal officers”)?
Principal officers (e.g., managing directors, managing partners, or those designated as heads of research) and partners of a research analyst entity (which could be a partnership firm, LLP, or other non-individual entities) are not required to apply for individual SEBI registration as research analysts. But please note that these individuals are still required to comply with Regulation 7, which outlines the qualification and certification requirements for anyone involved in research services. 
This means they must:

Hold appropriate professional qualifications (e.g., degrees in finance, commerce, economics, or certifications like CFA or NISM).

Obtain and maintain the required NISM certification or equivalent certification approved by SEBI.

The above provision eliminates the administrative burden of multiple registrations while ensuring that all key individuals associated with research services in an organization meet the necessary skill and professional standards. 
New Rule for Inclusion of “Partnership Firms” as Non-Individual Research Analysts
The amendments explicitly include partnership firms in the definition of non-individual research analysts, ensuring parity in regulatory treatment alongside corporations and LLPs.

Partnership firms are now formally recognized as entities eligible to apply for Research Analyst (RA) registration.

Clause (na) introduced the term "non-individual" to include partnership firms, body corporates, and LLPs.

This inclusion ensures that partnership firms must adhere to the same regulatory standards as other organizational structures.

Principal Officer Designation for Partnership Firms
The amendments mandate that partnership firms designate one of their partners as the Principal Officer, who will oversee compliance and operations related to research services.

The designated partner assumes responsibility for the overall functioning of the firm in line with SEBI regulations.

If none of the partners meet the qualification and certification criteria, the firm must transition to an LLP or body corporate within the timeframe specified by SEBI.

"Research Analyst": Any individual or entity providing research services for consideration.
"Research Report": A written or electronic communication providing analysis or recommendations concerning securities.
"Research Entity": Includes intermediaries engaged in merchant banking, investment banking, or brokerage services issuing research reports.
New Addition:-
Addition of "Part-Time Research Analyst": Defined as an individual or partnership firm engaged in research activities alongside other business activities.
Introduction of "Persons Associated with Research Services": Includes partners, directors, and employees providing research services.
Explanation: The expanded definitions ensure clarity, covering evolving roles and responsibilities in the research ecosystem.
Research Analyst Registration Requirements and Key Notes

Mandatory registration for individuals and entities providing research services.

Applications to be made using Form A and accompanied by a non-refundable fee. (Fees revised)

No overlap between research and distribution services within the same entity or group.

Maintenance of a deposit with a scheduled bank as lien in favor of Research Analyst Administration and Supervisory body (RAASB), ensuring funds for dispute resolution under SEBI guidelines.

Maintain honesty, integrity, confidentiality, and professional standards.

Avoid insider trading and conflicts of interest.

Disclosure obligations and strict confidentiality regarding the use of AI tools in research.

Qualification and Certification Requirements for Research Analysts
The Securities and Exchange Board of India (SEBI) mandates specific qualification and certification requirements for individuals and entities providing research analyst services. These requirements are designed to ensure that research analysts possess the necessary expertise and professional credentials to deliver high-quality, unbiased research while protecting investor interests.
1. Minimum Educational Qualification: A, post-graduate degree, graduate degree or post-graduate diploma in fields related to:

Finance

Accountancy

Business Management

Commerce

Economics

Capital Market

Banking

Insurance

Actuarial Science

Other Financial Services

These qualifications must be from a university or institution recognized by the Central Government or any State Government. A recognized foreign university or equivalent institution/association.
2. Specialized Programs:

Completing a Post Graduate Program in the Securities Market (Research Analysis) from the National Institute of Securities Markets (NISM), with a duration of at least one year.

Earning a CFA Charter from the CFA Institute.

Qualification for Persons Associated with Research Services:
Individuals engaged in providing research services (e.g., staff, associates) must hold a graduate degree in any discipline from:

A university or institution recognized by the Central Government or any State Government.

A recognized foreign university or institution.

NISM Certification: All individuals directly involved in research services, including:

Individual research analysts.

The principal officer of a non-individual research analyst.

Employees and partners of a research analyst (if applicable).

RA Continuous Compliance with SEBI Post Registration
The certification must be renewed before its expiry to ensure uninterrupted compliance with SEBI regulations, ensures that analysts maintain their competency and stay updated with the latest regulatory and market developments.
Registration Process for RA Registration with SEBI
STEP-1: Filing Application: 
Complete Form A with supporting documents and Payment of application and registration fees. 
The application fee is non-refundable and must be paid at the time of submitting the application for registration. The fees are as follows:

Individuals and Partnership Firms: Rs.2,000

Proxy Advisory Firms: Rs.2,000

Body Corporates and LLPs: Rs.20,000

Renewal Fees: Payable every five years.
STEP-2:Verification by SEBI 
SEBI assesses infrastructure, qualifications, and compliance with regulations.
STEP-3: Grant of Certificate: 
Successful applicants receive a registration certificate valid till suspension or cancellation.
STEP-4: Payment of Registration Fees
The registration fee is payable after SEBI approves the application and grants the certificate of registration. The fees are as follows:

Individuals and Partnership Firms: Rs.3,000

Proxy Advisory Firms: Rs.3,000

Body Corporates and LLPs: Rs.30,000

STEP-5: Requirements of Deposit with AD Bank
The 2024 amendments replaced the earlier capital adequacy requirements with deposit requirements. Research analysts must now maintain a deposit with a scheduled bank, marked as a lien in favor of Research Analyst Administration and Supervisory body (RAASB) a SEBI-recognized body.

No. of Clients

Deposit

Up to 150 Clients

Rs. 1 Lakh

151 to 300 Clients

Rs. 2 Lakh

301 to 1000 Clients

Rs. 5 Lakh

1001 and Above Clients

Rs. 10 Lakh

Key Features of Deposit Requirements
(a) The deposit must be maintained with a scheduled bank.
(b) It is marked as a lien in favor of as lien in favor of Research Analyst Administration and Supervisory body (RAASB).
(c) The purpose of the deposit is to serve as a safeguard to cover:

Dues emanating from arbitration or conciliation proceedings.
Liabilities related to grievances and dispute resolution.

(d) The deposit system ensures financial accountability and investor protection.
Both the application and registration fees, as well as the deposit, must be paid:

Online via SEBI Payment Gateway, or

Direct credit into SEBI’s designated bank account (through NEFT/RTGS/IMPS or other approved modes).

Compliance and Record Maintenance

Annual audits by a Chartered Accountant/Company Secretary.

Maintenance of records, including research reports, public appearances, and client communications, for at least five years.

Download here with recent: SEBI (Research Analysts) (Third Amendment) Regulations, 2024 
FAQs on SEBI RA Registration
Q1. What is the fee for SEBI registration?
Ans. The fee for SEBI registration are:
(a) Application Fee: Rs.2,000 - Rs.20,000, depending on entity type.
(b) Registration Fee: Rs.3,000 - Rs.30,000, payable upon SEBI approval.
Q2. How to become a SEBI registered RA?
Ans. Apply via Form A, meet qualification requirements, submit the required deposit, and undergo SEBI verification.
Q3. What is the deposit of RA in SEBI?
Ans. Deposit ranges from Rs.1 lakh to Rs.10 lakh, based on the number of clients.
Q4. What is the process of SEBI registration?
Ans. Filing Form A → SEBI Verification → Grant of Registration → Payment of Fees → Deposit Maintenance.
Q5. Can a research analyst charge fees?
Ans. Yes, registered Research Analysts can charge fees for research services.
Q6. What is an RA license?
Ans. A Research Analyst (RA) license is issued by SEBI, allowing individuals/entities to provide research services.
Q7. What does a research analyst do?
Ans. They provide analysis, forecasts, and recommendations on securities and investments.
Q8. What qualifications are required for a research analyst?
Ans. A degree in Finance, Commerce, Economics, or related fields + NISM Certification.
Q9. What is the salary of a research analyst?
Ans. Varies based on experience, employer, and market demand; SEBI analysts earn competitive salaries.
Q10. Is research analysis a hard job?
Ans. Yes, it requires expertise in financial markets, data analysis, and regulatory compliance.

The Securities and Exchange Board of India (SEBI) regulates Research Analysts (RA) to check transparency, protect investors, and uphold integrity in securities research, the SEBI (Research Analysts) Regulations, 2014, govern the registration, qualification, and conduct of RAs in India and through this article Compliance Calendar LLP will provide a detailed overview of the RA (SEBI) registration process, key requirements, and notable amendments introduced over the years. On 16-12-2024, the Securities and Exchange Board of India (‘SEBI’) notified the SEBI (Research Analysts) (Third Amendment) Regulations, 2024 to amend the SEBI (Research Analysts) Regulations, 2014. The Regulations came into force on the day of its publication in the Gazette, i.e., 16-12-2024.

On and from the commencement of these regulations, no person shall act as a research analyst or research entity or hold itself out as a research analyst unless he has obtained a certificate of RA registration from the (SEBI) Board under these regulations. No person or entity may act as a research analyst without a SEBI registration. Under the SEBI (Research Analysts) Regulations, 2014, as amended in 2024, the minimum qualifications for directors or partners of LLPs/firms (engaged in research activities) are outlined in Regulation 7.

Who will be the PO (“Principal officers”)?

Principal officers (e.g., managing directors, managing partners, or those designated as heads of research) and partners of a research analyst entity (which could be a partnership firm, LLP, or other non-individual entities) are not required to apply for individual SEBI registration as research analysts. But please note that these individuals are still required to comply with Regulation 7, which outlines the qualification and certification requirements for anyone involved in research services.

This means they must:

Hold appropriate professional qualifications (e.g., degrees in finance, commerce, economics, or certifications like CFA or NISM).
Obtain and maintain the required NISM certification or equivalent certification approved by SEBI.

New Rule for Inclusion of “Partnership Firms” as Non-Individual Research Analysts

The amendments explicitly include partnership firms in the definition of non-individual research analysts, ensuring parity in regulatory treatment alongside corporations and LLPs.

Partnership firms are now formally recognized as entities eligible to apply for Research Analyst (RA) registration.
Clause (na) introduced the term "non-individual" to include partnership firms, body corporates, and LLPs.
This inclusion ensures that partnership firms must adhere to the same regulatory standards as other organizational structures.

Principal Officer Designation for Partnership Firms

The amendments mandate that partnership firms designate one of their partners as the Principal Officer, who will oversee compliance and operations related to research services.

The designated partner assumes responsibility for the overall functioning of the firm in line with SEBI regulations.
If none of the partners meet the qualification and certification criteria, the firm must transition to an LLP or body corporate within the timeframe specified by SEBI.

"Research Analyst": Any individual or entity providing research services for consideration.

"Research Report": A written or electronic communication providing analysis or recommendations concerning securities.

"Research Entity": Includes intermediaries engaged in merchant banking, investment banking, or brokerage services issuing research reports.

New Addition:-

Addition of "Part-Time Research Analyst": Defined as an individual or partnership firm engaged in research activities alongside other business activities.

Introduction of "Persons Associated with Research Services": Includes partners, directors, and employees providing research services.

Explanation: The expanded definitions ensure clarity, covering evolving roles and responsibilities in the research ecosystem.

Research Analyst Registration Requirements and Key Notes

Mandatory registration for individuals and entities providing research services.
Applications to be made using Form A and accompanied by a non-refundable fee. (Fees revised)
No overlap between research and distribution services within the same entity or group.
Maintenance of a deposit with a scheduled bank as lien in favor of Research Analyst Administration and Supervisory body (RAASB), ensuring funds for dispute resolution under SEBI guidelines.
Maintain honesty, integrity, confidentiality, and professional standards.
Avoid insider trading and conflicts of interest.
Disclosure obligations and strict confidentiality regarding the use of AI tools in research.

Qualification and Certification Requirements for Research Analysts

The Securities and Exchange Board of India (SEBI) mandates specific qualification and certification requirements for individuals and entities providing research analyst services. These requirements are designed to ensure that research analysts possess the necessary expertise and professional credentials to deliver high-quality, unbiased research while protecting investor interests.

1. Minimum Educational Qualification: A, post-graduate degree, graduate degree or post-graduate diploma in fields related to:

Finance

Accountancy

Business Management

Commerce

Economics

Capital Market

Banking

Insurance

Actuarial Science
Other Financial Services

These qualifications must be from a university or institution recognized by the Central Government or any State Government. A recognized foreign university or equivalent institution/association.

2. Specialized Programs:

Completing a Post Graduate Program in the Securities Market (Research Analysis) from the National Institute of Securities Markets (NISM), with a duration of at least one year.
Earning a CFA Charter from the CFA Institute.

Qualification for Persons Associated with Research Services:

Individuals engaged in providing research services (e.g., staff, associates) must hold a graduate degree in any discipline from:

A university or institution recognized by the Central Government or any State Government.
A recognized foreign university or institution.

NISM Certification: All individuals directly involved in research services, including:

Individual research analysts.

The principal officer of a non-individual research analyst.
Employees and partners of a research analyst (if applicable).

RA Continuous Compliance with SEBI Post Registration

The certification must be renewed before its expiry to ensure uninterrupted compliance with SEBI regulations, ensures that analysts maintain their competency and stay updated with the latest regulatory and market developments.

Registration Process for RA Registration with SEBI

STEP-1: Filing Application:

Complete Form A with supporting documents and Payment of application and registration fees.

The application fee is non-refundable and must be paid at the time of submitting the application for registration. The fees are as follows:

Individuals and Partnership Firms: Rs.2,000
Proxy Advisory Firms: Rs.2,000
Body Corporates and LLPs: Rs.20,000

Renewal Fees: Payable every five years.

STEP-2:Verification by SEBI

SEBI assesses infrastructure, qualifications, and compliance with regulations.

STEP-3: Grant of Certificate:

Successful applicants receive a registration certificate valid till suspension or cancellation.

STEP-4: Payment of Registration Fees

The registration fee is payable after SEBI approves the application and grants the certificate of registration. The fees are as follows:

Individuals and Partnership Firms: Rs.3,000
Proxy Advisory Firms: Rs.3,000
Body Corporates and LLPs: Rs.30,000

STEP-5: Requirements of Deposit with AD Bank

The 2024 amendments replaced the earlier capital adequacy requirements with deposit requirements. Research analysts must now maintain a deposit with a scheduled bank, marked as a lien in favor of Research Analyst Administration and Supervisory body (RAASB) a SEBI-recognized body.

No. of Clients	Deposit
Up to 150 Clients	Rs. 1 Lakh
151 to 300 Clients	Rs. 2 Lakh
301 to 1000 Clients	Rs. 5 Lakh
1001 and Above Clients	Rs. 10 Lakh

Key Features of Deposit Requirements

(a) The deposit must be maintained with a scheduled bank.

(b) It is marked as a lien in favor of as lien in favor of Research Analyst Administration and Supervisory body (RAASB).

Dues emanating from arbitration or conciliation proceedings.
Liabilities related to grievances and dispute resolution.

(d) The deposit system ensures financial accountability and investor protection.

Both the application and registration fees, as well as the deposit, must be paid:

Online via SEBI Payment Gateway, or
Direct credit into SEBI’s designated bank account (through NEFT/RTGS/IMPS or other approved modes).

Compliance and Record Maintenance

Annual audits by a Chartered Accountant/Company Secretary.
Maintenance of records, including research reports, public appearances, and client communications, for at least five years.

Download here with recent: SEBI (Research Analysts) (Third Amendment) Regulations, 2024