Understanding SEBI's Investor Charter for Research Analysts: Rights and Mandates

For years, retail investors in India had to find their way through opaque research, conflicted stock tips and aggressive marketing. To protect investors and build trust in investment research, the Securities and Exchange Board of India (SEBI) introduced a standard Investor Charter for Research Analysts (RAs). The current version was issued in June 2025.

Whether you subscribe to paid equity research, follow model portfolios or read analyst reports on listed companies, the charter is worth understanding. It sets out what a registered research analyst must do, what your rights are as an investor, and what to do, and avoid, when you look for investment research.

The core principle: A research analyst’s job is to give you research that is factual, objective and free of undisclosed conflicts. SEBI does not allow a research analyst to promise assured or guaranteed returns, or to take your money to invest on your behalf.

1. The charter’s vision and mission

The charter’s vision is simple: “Invest with knowledge & safety.”

Its mission is to help every investor choose investment products that suit them, manage and monitor them towards their goals, and get access to reports, with full transparency, fair treatment and a working system for resolving complaints.

2. What a SEBI-registered research analyst must do

Under the SEBI (Research Analysts) Regulations, 2014 and the Investor Charter, a registered RA has clear obligations towards you:

• Clear onboarding: Share the terms and conditions of the research service with you, and complete your KYC if you are a fee-paying client.
• Unbiased research: Publish research and recommendations based on independent analysis and publicly available information, and distribute them fairly to all clients, without tipping off some clients early.
• Full disclosure of conflicts: Disclose any financial interest in the companies covered, including holdings of the RA and its associates, and any compensation received from the subject company in the past 12 months.
• Disclosure of AI use: Tell you to what extent artificial intelligence tools are used in providing the research service.
• Caution on risky products: Give clear guidance and adequate risk warnings for complex and high-risk products.
• Confidentiality: Keep research confidential until it is published, and protect your personal data.
• Records and audit: Keep records of research, client interactions and fees for at least five years, record conversations with clients about research services, and get the practice audited every year.
• Honest advertising: Follow SEBI’s Advertisement Code for Research Analysts.

3. Your rights as an investor

As a client of a SEBI-registered research analyst, the charter gives you the right to:

• Fair treatment, privacy and confidentiality in all your dealings.
• Transparent information and disclosures, both when you sign up and on an ongoing basis.
• Clear terms, including the service you’ll get, the fees and the timelines, before you pay.
• Fair and true advertising, without misleading claims.
• Exit the service on the terms agreed at the start.
• Protection from unfair clauses: clauses that are coercive, one-sided or against SEBI’s rules don’t bind you.
• Be heard, and have your complaints resolved in a satisfactory and timely way.

4. Your responsibilities: the do’s and don’ts

The charter makes the point that investor protection works both ways. These are the key do’s and don’ts for investors:

Area	Do	Don’t
Verification	Check the analyst’s SEBI registration number and certificate on the SEBI website before subscribing.	Don’t deal with unregistered entities, Telegram tipsters or WhatsApp stock channels.
Payment	Pay fees only through banking channels (UPI, net banking or cheque) to the RA’s official account, keep receipts, and use SEBI’s Centralised Fee Collection Mechanism (CeFCoM) where the RA offers it.	Don’t pay in cash or into the personal bank account of someone you haven’t verified.
Returns	Understand that market investments carry risk and no returns are guaranteed. Report any RA offering assured returns to SEBI.	Don’t fall for “100% sure shot”, “jackpot call” or assured monthly return claims.
Account access	Keep sole control of your demat, trading and bank accounts.	Don’t share passwords, PINs or OTPs with a research analyst, and don’t give an RA money to invest for you.
Due diligence	Read research reports, disclosures and risk warnings carefully before acting on them.	Don’t trade on social media hype, SMS tips, rumours or limited-time “discount” offers.

5. How to raise a complaint

If you face poor service, an undisclosed conflict of interest or unfair practices from a SEBI-registered research analyst, the charter sets out a clear escalation path:

• Level 1: The research analyst. Raise your complaint in writing with the RA. The RA must try to resolve it immediately, and in any case within 21 days of receiving it.
• Level 2: SEBI SCORES. If it isn’t resolved, or you aren’t satisfied, file a complaint on SEBI SCORES. It goes through two levels of review: first by the Research Analyst Administration and Supervisory Body (RAASB), which is BSE, and then by SEBI.
• Level 3: SMART ODR. If you are still not satisfied, you can start online conciliation and arbitration on the SMART ODR portal.

Our step-by-step guide on how to file a complaint on SEBI SCORES and SMART ODR walks through each stage.

Frequently asked questions

Where can I find a research analyst’s Investor Charter?

Every SEBI-registered research analyst must display the Investor Charter on its website and mobile app, if it has one, and share it with clients when they sign up. You can read WiseBull’s Investor Charter in our disclosures section.

Can a SEBI-registered research analyst manage my portfolio?

No. A research analyst registration covers research reports and recommendations. An RA can’t take your money to invest, trade in your account on your behalf or offer portfolio management services. That needs a separate SEBI registration as a portfolio manager.

What if a research recommendation results in a loss?

All equity investments carry market risk, and research can be wrong. A loss on its own isn’t a violation of SEBI’s rules. You have grounds to complain if the analyst didn’t follow the rules: for example, by hiding a conflict of interest, promising returns, misrepresenting the service or not delivering what you paid for.

How do I check that a research analyst’s registration is valid?

Go to the SEBI website (sebi.gov.in), open the list of recognised intermediaries and choose Research Analysts. Check that the registration number (for example, INH100009992) matches the analyst’s name and address, and that the registration is current.

How much can a research analyst charge?

For individual and HUF clients, SEBI caps research analyst fees, currently at ₹1.51 lakh a year per family, and an RA can collect fees at most one year in advance. The fee and terms must be agreed with you upfront in writing, and fees must be paid through banking channels. These limits don’t apply to accredited investors or institutional clients.

This article is for investor education only and is not legal advice. SEBI’s rules for research analysts are revised from time to time; check the latest regulations and circulars on sebi.gov.in.