Finfluencers should register with SEBI, IRDAI: ASCI

The Advertising Standards Council of India has tightened the ropes around Finfluencers who create content on personal finance. As per ASCI's revised guideline, the Finfluencers will now have to register with Securities and Exchanges Board of India (SEBI) before offering investment-related advice.

They are also required to offer registration number alongside name and qualifications. The guideline also mentioned that the Finfluencers must have appropriate credentials such as a licence from the Insurance Regulatory and Development Authority of India (IRDAI), be qualified as a chartered accountant, hold a company secretaryship among others.

“For other financial advice, influencers must possess appropriate credentials such as a licence from the Insurance Regulatory and Development Authority of India (IRDAI), be qualified as a chartered accountant, hold a company secretaryship, among others. Moreover, they are expected to adhere to all disclosure prerequisites as stipulated by financial sector regulators from time to time,” ASCI guideline said.

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This comes after SEBI raised concerns over finfluencers spreading misleading advice regarding investments and stock trading. ASCI is also expected to release draft discussion paper on regulating finfluencers.

Along with Finfluencers, ASCI has also release a new set of guidelines for influencers who endorse products that make claims on health and nutrition. The influencers will now have to hold relevant qualifications such as medical degrees or certification in nursing, nutrition, dietetics, physiotherapy or psychology.