To increase transparency, Sebi on Thursday asked investment advisers and research analysts to prominently display information in advertisements, including their names, logos, registration numbers, complete addresses and phone numbers with the regulator.

Also, they were asked to provide a disclaimer that “Registration granted by Sebi, membership of BSE Management and Supervision Limited (BASL) and accreditation by NISM in no way guarantee the performance of the intermediary or provide any guaranteed return to investors” in their advertisements middle.

This information should also appear in publications, know-your-customer (KYC) forms, client agreements, statements, and other communications with clients.

Also, the regulator has banned them from using the Sebi logo in advertisements. The latest move comes after the regulator observed that few investment advisers (IAs) and research analysts (RAs) were more prominently using brand names or logos in their advertisements, websites, publications, communications with clients and various documents. Also, marketing their services, not their Sebi registered name.

While IAs and RAs may use brand names/logos, they need to ensure that information such as the name of the IA/RA registered with Sebi, its logo, registration number and its full address and telephone number are prominently displayed, according to a circular at on their websites, display boards, advertisements, publications, KYC forms and client agreements.

In addition, the Compliance Officer and his phone number, email address, and the Grievances Officer’s name, phone number, and email address shall be prominently displayed on statements or reports or in any other form of communication with customers.

On Wednesday, the Securities and Exchange Board of India (Sebi) instituted an advertising code for investment advisors and research analysts. They are prohibited from making statements that could mislead investors and using superlatives and complex language in their advertisements. The new rules will come into effect on May 1.