Sebi may bar intermediaries from aligning with errant finfluencers

We have no problem with someone educating investors but it should not involve inducements: Buch

The Securities and Exchange Board of India (Sebi) is close to firming up guidelines for financial influencers (finfluencers) in order to curb spread of misinformation and manipulative practices.

As these individuals are not registered with the markets regulator, direct action against them may fall outside the purview of the watchdog. However, Sebi plans to issue diktats to market intermediaries like mutual funds, stock exchanges, brokers etc. to not associate with the finfluencers seen flouting market regulations or indulging in the practice of dolling out stock tips.

After its board meeting on June 28, Sebi chairperson Madhabi Puri Buch said that