Securities Exchange Board of India (SEBI)

Investment Advisor

Securities Exchange Board of India (SEBI)

With the growth in the dealings of stock markets, lot of malpractices also started in stock markets such as price rigging, an unofficial premium on new issue, and delay in delivery of shares, violation of rules and regulations of stock exchange and listing requirements. Due to these malpractices the customers started losing confidence and faith in the stock exchange. So government of India decided to set up an agency or regulatory body known as Securities Exchange Board of India (SEBI). As we are situated in indore so we are reporting to our local sebi office which is situated in Indore, 104-105, Satguru Parinay, Opposite C-21 Mall, A.B. Road, Indore - 452010, Madhya Pradesh.

The Securities and Exchange Board of India (SEBI), a statutory body appointed by an Act of Parliament (SEBI Act, 1992), is the chief regulator of securities markets in India.

The Preamble of the Securities and Exchange Board of India describes the basic functions of the Securities And Exchange Board of India as " protect the interests of investors in securities and to Promote the development of, and to regulate the securities market and for matters Connected there with or incidental there to".

Objectives of SEBI

Investment Advisor

The overall objectives of SEBI are to protect the interest of investors and to promote the development of stock exchange and to regulate the activities of stock market.

1. To regulate the activities of stock exchange.

2. To protect the rights of investors and ensuring safety to their investment.

3. To prevent fraudulent and malpractices by having balance between self-regulation of business and its statutory regulations.

4. To regulate and develop a code of conduct for intermediaries such as brokers, underwriters, etc.

Investment advice and Investment adviser

Any person who proposes to provide investment advice as defined under the regulations or Who qualifies under the definition of “Investment Adviser” shall be required to obtain a registration certificate from SEBI in order to continue to do this activity. Investelite Research is SEBI registered investment advisor our SEBI registration number INA000009959.

The term “investment advice” has been specifically defined under the regulations. It means Any form of advice provided in relation to investment, purchase, sale or dealing in securities Or investment products. It also includes advice on a portfolio of securities or investment Products and financial planning. Such advice may be provided as a written advice or an oral Recommendation.

In Investelite Research SEBI registered investment advisor we Provide investment advice through SMS on Clients registered Mobile number.

Investment Advisor

Roles & Responsibilities of SEBI Registered Investment Advisor


Investelite Research always maintain strict confidentiality with respect to the information received from the client.

KYC Compliance

Investelite Research always follow Know Your Client procedure as specified by SEBI from time to time.

Code of Conduct

Investelite Research always abide by the Code of Conduct as specified in Third Schedule of the Investment Adviser Regulations.

Conflicts of interest

Investelite Research discloses all conflicts of interest to the client as and when they arise.

Reporting to SEBI

Investelite Research file periodic reports or information to SEBI as may be required from time to time and take prior approval from SEBI if there is a change in control of the investment adviser.

Only advisory income

Investelite Research will not receive any consideration or remuneration from anyone except the client in respect of securities or investment products for which he has provided advice.

Segregation of other activities

We do not have any tie ups with any broking or other firm. We maintain arm’s length relationship between investment advisory activity and such other activities. If a conflict of interest arises, the same shall be disclosed to the client.

General Obligations

The nature of service that is provided by Investelite Research is directly related to the financial situation of their clients. The relationship between the Investelite Research and client is that of trust and the investment adviser, while performing his role, should act in good faith in the best interests of the client.

Restriction On Free Trial & Part Payments

IAs shall not provide free trial for any products/services to prospective clients. Further, IAs shall not accept part payments (where some part of the fee is paid in advance) for any product/service.

Proper Risk Profiling And Consent Of Client On RPM

RIAs shall provide investment advice only after completing the following steps:

a. Complete the risk profile of the client based on information provided by the client.
b. Obtain consent of the client on completed risk profile either through registered email or physical document.

Receiving Fees Though Banking Channel Only

IAs shall accept fees strictly by account payee crossed cheques / demand draft or by way of direct credit into their bank account through NEFT/ RTGS/IMPS/UPI. It is clarified that, IAs shall not accept cash deposits.

Display Of Complaints Status On Website

IAs shall display the following information on the homepage.

• Number of complaints.
• At the beginning of the month.
• Received during the month.
• Resolved during the month.
• Pending at the end of the month.
• Reasons for pendency.

Do’s and Don’ts for client while
dealing with Investment Advisers under SEBI rules

Do's For Client While Dealing With Investment Advisers

Always deal with SEBI registered Investment Advisers.

Check for SEBI registration number. Please refer to the list of all SEBI registered Investment Advisers which is available on SEBI website in the following link: List of all SEBI registered Investment Advisers

Ensure that the Investment Adviser has a valid registration certificate.

Pay only advisory fees to your Investment Adviser. Make payments of advisory fees through banking channels only and maintain duly signed receipts mentioning the details of your payments.

Always ask for your risk profiling before accepting investment advice. Insist that Investment Adviser provides advisory strictly on the basis of your risk profiling and take into account available investment alternatives.

Ask all relevant questions and clear your doubts with your Investment Adviser before acting on advice.

Assess the risk & return profile of the investment as well as the liquidity and safety aspects before making investments.

Insist on getting the terms and conditions in writing duly signed and stamped. Read these terms and conditions carefully particularly regarding advisory fees, advisory plans, category of recommendations etc. before dealing with any Investment Adviser.

Be vigilant in your transactions.

Approach the appropriate authorities for redressal of your doubts / grievances. Inform SEBI about Investment Advisers offering assured or guaranteed returns.

Don'ts For Client While Dealing With Investment Advisers

Do not deal with unregistered entities.

Don't fall for stock tips offered under the pretext(free trial) of investment advice.

Do not give your money for investment to the Investment Adviser.

Don't fall for the promise of indicative or exorbitant or assured returns by the Investment Advisers. Don't let greed overcome rational investment decisions.

Don't get carried away by luring advertisements or market rumours.

Avoid doing transactions only on the basis of phone calls or messages from any Investment Adviser or its representatives.

Don't take decisions just because of repeated messages and calls by Investment Advisers.

Do not fall prey to limited period discount or other incentive, gifts, etc. offered by Investment Advisers.

Don't rush into making investments that do not match your risk taking appetite and investment goals.

Do not take any Investment Advice before Risk Profile and Suitability assesment.

Cash Payments are not accepted.