SEBI Orders Intermediaries to Register With Google, Meta for Ads
Why in the news
SEBI told market intermediaries to enrol with social media platform providers (SMPPs) such as Google and Meta if they want to advertise financial products online.
Key facts
- Aim: curb fraudulent investment schemes and confirm that financial adverts are genuine.
- Covered: mutual funds, investment advisers, stock brokers and research analysts.
- Process: the intermediary enrols using the email ID and mobile number recorded on the SEBI intermediary portal; the SMPP then checks the advertiser before any ad goes live.
| Fraud tactic | Example |
|---|---|
| Testimonials | Misleading claims |
| Courses | Fake trading seminars |
| Returns | Assured, risk-free promises |
Exam angle
- Regulator: SEBI; term: SMPP.
- Platforms named: Google and Meta.