New Delhi: Concerned over investors' getting lured by false trading tips from unregistered investment advisers, markets regulator Sebi on Thursday cautioned public to deal with only registered investment advisers and research analysts for availing investment advisory services.
"The public in general is advised to check the registration status of the entity/person on the Sebi website before availing the investment advisory services/ research services," Sebi said.
The details of Sebi registered investment advisers and research analysts are available on its website.
Further, the watchdog has cautioned the public to take their informed investment decisions without being influenced by any SMS or by any other misleading advertisement, promising unrealistic returns.
"The general public should also be wary of trading in the securities markets based on the tips/recommendations provided by unregistered entity/person and should not get attracted or lured by such trading tips and stock specific recommendations received through Short Message Services (SMSs) or through any public media including websites or through any other social networking media," the regulator said in a release today.
As per Sebi (Investment Advisers) Regulations, and Sebi (Research Analysts) Regulations, no person can act as an investment adviser or a research analyst unless he has obtained a certificate of registration from the Board.
In the past, the regulator has taken action against entities for providing investment advice to public without obtaining registration with Sebi.
The entities against whom actions were taken are Moneyworld Research and Advisory, Orange Rich Financials, GoCapital, Asian Corporate Consultancy and HBJ Capital Services, among others.
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