Sebi Mandates Periodic Reporting for Research Analysts & Proxy Advisers

New Delhi, Oct 25 (PTI) Markets regulator Sebi on Friday came out with a standardised format for periodic reporting for research analysts (RAs) and proxy advisers (PAs).

The regulator has recognised the Research Analyst Administration and Supervisory Body (RAASB) for the administration and supervision of RAs under the RA Regulations. As the Proxy Advisers (PAs) are registered under the RA norms, they will also come under the purview of RAASB.

In its circular, Sebi said that RAs will submit their periodic report to RAASB, and PAs will submit their periodic reports to Sebi. The periodic reports will be submitted by RAs/PAs within 30 days from the last date of the reporting period.

Further, RAs/PAs are required to submit periodic reports for half-yearly periods ending on September 30 and March 31 of every financial year. The first reporting period will be a half-yearly period ending on March 31, 2025, and reports thereof will be required to be submitted by April 30, 2025.

Hence, a time of around six months has been provided to RAs and PAs for submission of their first periodic report to give them sufficient time to make necessary arrangements for providing the required data.

Under the periodic reporting format, research analysts/proxy advisors need to disclose details of registration number, official website address, details of social media handles, advertisements issued, bank accounts used for receiving fees from clients, details of directors/ partners, shareholding pattern and details of the complaints against them, among others.

In a separate circular, Sebi has allowed a non-individual investment advisor to obtain an annual compliance certificate for client-level segregation from any auditor to promote ease of doing business.

Under the rule, a non-individual investment adviser is required to maintain on record an annual certificate from its statutory auditor, confirming compliance with the client level segregation requirements.

It has been decided to grant 30 days to submit periodic reports to IAASB.

"For the subsequent half-yearly periods, IAs shall submit periodic reports within 30 days from the end of the half-yearly period for which details are to be furnished," Sebi said.