Fine-tuning needed

Guidelines for investment advisers should be clear

The Securities and Exchange Board of India (Sebi) has proposed a new advertisement code for investment advisers (IAs) and research analysts (RAs) to reduce chances of misleading investors through false, confusing, biased, or deceptive claims. This could be considered an addendum to the existing code of conduct for IAs and RAs and it follows on the heels of recent instructions to mutual funds to avoid claims of assured returns. The new code, which comes into force on May 1, 2023, seeks to eliminate statements designed to exploit lack of experience or knowledge. IAs and RAs should thus refrain from overuse