Sebi eases certification needs for non-core staff of investment advisors

Sebi eases certification norms for non-advisory investment staff, while NSE clarifies brokers' investments won't be treated as business income in most cases

The Securities and Exchange Board of India (Sebi) on Wednesday announced relaxations in certification requirements for persons associated with investment advice (PAIA). PAIA includes sales staff, relationship managers, and other staff who only perform non-core services — indicating that although they may have contact with clients, they are not directly associated with or involved in investment advice related activities.

 

Brokers’ investments not business income if not from client funds 

The National Stock Exchange (NSE) has clarified that the investments made by a stock broker will not be construed as business income except in cases where such investments involve client funds or client securities or relate to arrangements which may be creating a financial liability on the broker. The clarification follows amendments to the Rule 8 of the Securities Contracts (Regulation) Rules, 1957.