SEBI issued a warning on Monday against using live trading strategies shared on social media. It said such sessions can be unregistered investment advice.
The regulator observed that some people on platforms like Facebook, YouTube, and Instagram stream real‑time tips on when to buy or sell stocks. They present themselves as market experts and give step‑by‑step instructions.
These hosts claim they trade live and show their trades, market patterns and expected targets. Their videos attract many viewers who chat while watching, and some of these chats may include unregistered advice.
SEBI’s circular from May says that market price data can only be used for education after a 30‑day delay and without any monetary incentive. The regulator also warned that using recent data for advice is not allowed.
The board added that live market data can only be shared for the orderly functioning of the market or for regulatory purposes. Any other use is prohibited.
SEBI urged investors to be careful and not trust the claims of people offering live or real‑time strategies on social media. They should only deal with intermediaries registered with SEBI.
The regulator asked investors to stay alert while trading and avoid relying on unregistered persons or entities for advice. This helps protect them from potential fraud and ensures compliance with rules.