Securities and Exchange Board of India has issued a strong advisory against unregistered advisory services offered through social media. It flagged the growing trend of real time trading tips and strategies shared during live sessions. SEBI clarified that live market data can only be shared for regulatory or market functioning needs.
Many social media users provide instant advice on entry exit and trading positions which misleads investors. The regulator urged investors not to trust claims made during such live trading sessions. It warned that unverified suggestions can lead to financial losses. SEBI stressed that only registered intermediaries are authorised to provide investment advice.
Investors were advised to avoid making decisions based on unregulated live chats or broadcasts. The advisory highlights misuse of digital platforms for trading guidance and the risks of following unverified sources. SEBI’s caution aims to protect retail investors from misleading claims and ensure that investment decisions are based on credible regulated advice.
By discouraging reliance on social media trading sessions SEBI seeks to strengthen investor protection and maintain market integrity.