SEBI Issues Advisory on Social Media Trading Broadcasts
The Securities and Exchange Board of India has issued a public caution regarding individuals who display live trading strategies and real-time tips across social media platforms. According to the regulatory body, numerous viewers are tuning into these live sessions, which frequently feature interactive live chats where unregistered advisory services are actively exchanged.
The regulator highlighted that individuals hosting these broadcasts often project themselves as market experts. They provide granular analysis covering entry and exit points, specific strategies, and index positions. Furthermore, some broadcasters claim to execute real-time trades, demonstrating performance patterns derived from live market data and projecting future price targets.
Regulations Governing Market Price Data Sharing
Under a circular issued by the regulator on May 8, 2026, market price data may be shared strictly for investor education and awareness initiatives, provided there are no monetary incentives offered to participants and a mandatory thirty-day lag is maintained. Entities engaged solely in educational activities are barred from utilizing market price data from the preceding thirty days to indicate future security prices or offer investment advice.
Official guidelines dictate that live market data sharing is restricted entirely to ensuring the orderly functioning of the securities market or meeting regulatory obligations. Consequently, unauthorized sharing or streaming of live market data by unregistered entities falls outside legal parameters.
Investor Advisory and Safe Practices
To protect market participants from potential financial risks, the regulator has advised the public to adopt the following measures:
- Avoid trusting claims made by unregistered individuals broadcasting live trading sessions.
- Refrain from basing financial or investment decisions on tips provided during social media streams.
- Conduct transactions exclusively through authorized intermediaries registered with the regulator.
The market watchdog reiterated that this advisory aims to remind participants to remain vigilant while engaging in securities market transactions and to steer clear of unverified advisory services operating online.
Primary source: This independent news summary is based on official information from Securities and Exchange Board of India. Read the original document for complete details.
