Portfolio managers need not register under RA norms: Sebi

Sebi registered portfolio managers will not have to separately register under Research Analysts (RA) Regulations, capital markets watchdog has said.
However, portfolio managers would have to comply with disclosure requirements and necessary safeguards to check any conflict of interest in management in case they issue research report or circulate/distribute such reports to public or their employee and director makes public appearance.
The Securities and Exchange Board of India (Sebi) has conveyed its views in response to an 'informal guidance' sought by Wealth Advisors (India) Pvt Ltd, which provides portfolio management services.
Wealth Advisors was seeking clarification from the capital markets regulator, as to whether it need to register as research analyst under Sebi regulations.

In its response the watchdog said, "Portfolio managers registered with Sebi are not required to seek registration under RA (Research Analysts) Regulations."
"However irrespective of registration, portfolio managers would be required to comply with...(necessary provisions) of RA Regulations, where they issue research report or circulate/ distribute research reports to public or their director or employee makes public appearance," it added.
Under the norms, no person or entity can act as research analyst or research entity without obtaining a registration certificate from Sebi.