- SEBI warns against relying on live trading strategies promoted on social media platforms
- Live sessions offering real-time trading tips often include unregistered advisory services
- SEBI restricts sharing of live market data except for regulatory or market functioning needs
The Securities and Exchange Board of India (SEBI) has cautioned investors against relying on live trading strategies and ‘real-time strategies' being promoted on social media platforms.
In an official staemnet, SEBI said it had noticed individuals offering real-time trading tips and strategies through live sessions, with some of these sessions attracting a substantial number of viewers.
The regulator also flagged the use of live chats alongside such sessions, where unregistered advisory services are allegedly being exchanged. SEBI said live market data cannot be shared by entities except where it is required for the orderly functioning of the securities market or to meet regulatory requirements.
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The regulator referred to its May 8, 2026 circular, which allows market price data to be shared for investor education and awareness purposes only with a 30-day lag and without offering monetary incentives to participants.
According to SEBI, a person engaged solely in investor education should not use market price data from the preceding 30 days of any security, indicate its future price or provide advice or recommendations relating to securities.
SEBI said certain individuals on social media are presenting themselves as securities-market experts and offering detailed commentary on when to enter or exit trades, strategies to follow and positions to take in market indices.
Some of these individuals also claim to be trading in real time while displaying the performance of their trades and analysing market patterns using live data. They may also indicate the target levels they expect the market to reach.
The regulator said such activity can create the impression that viewers are receiving legitimate, real-time market expertise, while live chats may simultaneously facilitate the exchange of unregistered advisory services.
SEBI has urged investors not to trust claims made during such live trading sessions and not to base investment decisions on them.
The regulator advised investors to deal only with SEBI-registered intermediaries when carrying out transactions in the securities market.
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“Investors are advised to not trust claims of such persons and not to take their investment decisions on such live trading sessions,” SEBI said.
The regulator also urged investors to remain vigilant while carrying out transactions in the securities market.
The latest warning comes as financial influencers and trading educators increasingly use social media and live-streaming platforms to reach retail investors. SEBI's caution underlines the distinction between permitted investor education and real-time trading advice or recommendations.
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