SEBI Eases Rules: Any Graduate Can Now Become Investment Advisor or Research Analyst

New Delhi: In a major move aimed at widening access to India’s growing financial market, the Securities and Exchange Board of India (SEBI) has relaxed educational requirements for Investment Advisors (IAs) and Research Analysts (RAs). Effective immediately, graduates from any discipline can now apply for these professional roles, marking a significant shift from the earlier restrictions.

Key Highlights of the New Rules

• Eligibility: Previously, only graduates or postgraduates in Finance, Business Management, Commerce, Economics, or Capital Markets could register. Under the new regulations, even graduates in Engineering, Law, Arts, or any other discipline are eligible.
• Certification Requirement: Applicants must continue to pass the NISM certification exam, which evaluates market knowledge and expertise.
• Degree Recognition: The degree must be from a recognized Indian or foreign university.

Additional Relaxation on Share/Debt Certificates

SEBI has also proposed an easier process for lost share, bond, or mutual fund certificates:

• The value threshold for obtaining duplicate certificates without a police FIR or public notice has been increased from ₹5 lakh to ₹10 lakh.
• This move is expected to reduce procedural hurdles for investors and streamline compliance.

Implications

With the financial markets witnessing rapid growth and increasing retail participation, SEBI’s new rules are likely to:

• Encourage more graduates from diverse fields to enter the financial advisory and research sector.
• Expand the pool of qualified professionals, enhancing advisory services across the country.
• Simplify investor compliance regarding lost certificates, making it easier for retail investors to manage their portfolios.

Bottom Line: SEBI’s reforms are set to democratize access to financial advisory roles, offering fresh opportunities to graduates from all disciplines while also improving investor convenience in handling lost financial instruments.