SEBI Imposes New Disclosure Norms for Social Media Influencers.

Banking & Finance | Dated: 11 Nov 2025

The Securities and Exchange Board of India (SEBI) issued stringent new disclosure norms for financial social media influencers (often called "Finfluencers"). The new regulations mandate that all financial advice provided by these influencers must carry a clear **disclaimer** about their SEBI registration status, potential conflicts of interest, and compensation received from regulated entities, significantly enhancing investor protection and promoting market transparency.

🎯 Key Highlights:

  • The stringent new disclosure norms were issued by the Securities and Exchange Board of India (SEBI).
  • The regulations mandate clear disclosures on the SEBI registration status and any compensation received from regulated financial entities.
  • The measure is designed to significantly enhance investor protection, curb unauthorized financial advice, and promote greater market transparency for retail investors.

💡 Other Important Facts:

  • The new rules aim to differentiate genuine financial education from paid promotions.
  • SEBI is tightening regulations on unregistered entities providing investment advice.
  • Violations may lead to heavy penalties and banning the influencer from the securities market.

📚 Test Your Knowledge:

SEBI’s new norms require social media influencers to mandatorily disclose what?

Correct Answer: Compensation and SEBI Registration Status

🚀 Quick Recap:

About SEBI

  • Role: Regulator of the securities and commodity market in India, HQ: Mumbai, Established: 1992.
  • Target Group: Financial Social Media Influencers ("Finfluencers"), Primary Aim: Curbing unauthorized investment advice and protecting retail investors.