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SEBI chairperson Madhabi Puri Buch said that the market regulator is considering allowing RIAs to showcase their performance. However, such a report has to come from a performance validation agency.
Madhabi was speaking at the Global Fintech Fest held recently in Mumbai.
Answering a query of RIA, Madhabi said that unfortunately the regulator has seen bad apples (She was referring to Indore/Bhopal based stock tippers) in investment advisory space. However, there are a lot of good apples and there is a need to bring them forward as they give genuine advice to people.
Talking about the performance validation, Madhabi said that such a performance cannot be determined based on performance of recommended schemes, instead, it has to be more qualitative.
