The new guidelines will come into effect from January 1, 2022, SEBI said in two separate circulars.
Markets regulator Sebi on Monday asked investment advisers and research analysts to disclose the investor charter as well as data pertaining to complaints received on their websites and mobile applications.
The new guidelines will come into effect from January 1, 2022, the Securities and Exchange Board of India (Sebi) said in two separate circulars.
In order to facilitate investor awareness about various activities which an investor deals with while availing the services provided by research analysts and investment advisers, Sebi has developed the investor charter for research analysts and investment advisers.
The charter is a brief document containing details of services provided to investors, their rights, dos and don’ts, responsibilities, investor grievance handling mechanism and estimated timelines thereof at one single place, in a lucid language, for ease of reference.
Sebi has asked registered research analysts as well as investment advisers to bring to the notice of their clients the charter by prominently displaying it on their websites and mobile applications.
In case they do not have websites or mobile applications, then these entities will have to, as a one-time measure, send charter to the investors on their registered e-mail addresses.
Additionally, in a bid to bring about transparency in the investor grievance redressal mechanism, Sebi has asked them to disclose on their respective websites and mobile applications, all complaints including those received on SCORES in a prescribed format on a monthly basis.
The data need to be disclosed latest by the 7th of succeeding month, Sebi said.
“Research Analysts/ Investment Advisers not having websites/mobile applications shall send status of investor complaints to the investors on their registered email on a monthly basis,” the regulator said.
Further, they have been asked to display link or option to lodge complaint with them directly on their websites and mobile apps.
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