1. Introduction
Are you passionate about the securities markets and helping others achieve their investment goals? If so, then becoming a Registered Investment Adviser (RIA) might be the perfect career path for you.
However, before you start giving investment advice, you need to be officially registered with the Securities and Exchange Board of India (SEBI). This guide will walk you through everything you need to know about becoming a registered RIA, from eligibility criteria and qualifications to the registration process itself.
Page Contents
2. Eligibility Criteria
a. Applicant can be an individual or non-individual (Body Corporate i.e., Company or LLP),
b. The applicant and all the individuals including Principal Officer (if any), associated with investment advice shall be appropriately qualified and certified as per the qualification and certification requirements,
c. Applicant shall have the net worth of at least:
| Sr. No. | Particulars | Amount (INR) |
| 1 | For non-individual | 50,00,000 |
| 2 | For individuals and firms | 5,00,000 |
d. The applicant, its partners, principal officer and person associated with investment advice shall be fit and proper as per Schedule II of the SEBI (Intermediaries) Regulations, 2008,
e. The applicant shall have necessary infrastructure,
f. In case a Bank or NBFC proposes to undertake investment advisory services, it shall obtain approval from the RBI and the application should be made through a subsidiary or separately identifiable department or division,
g. In case an entity incorporated outside India undertakes to provide investment advisory services, it has to set-up a subsidiary in India and such subsidiary shall make the application for registration,
h. In case a foreign citizen proposes to undertake investment advisory services, the applicant shall set-up an office in India and shall undertake investment advisory services through such office.
3. Qualification and Certification Requirements
Individuals aspiring to be investment advisers or principal officer of non-individual investment adviser must hold:
a. Qualification Requirement
i. A professional qualification, post-graduate degree or post-graduate diploma (minimum 2 years) in the fields such as finance, accountancy, business management, commerce, economics, capital market, banking, insurance or actuarial science from a recognised university or institution, or
ii. A professional qualification by completing a post graduate program in the securities market (investment advisory) from NISM of a duration not less than 1 year, or
iii. A professional qualification by obtaining a CFA charter from the CFA institute AND
iv. An experience of at least 5 years in activities relating to advice in financial products or securities or fund or asset or portfolio management.
b. Requirement for Associated Persons
Persons associated with investment advice must have the following qualifications, at all times –
i. A professional qualification, post-graduate degree or post-graduate diploma (minimum two years) in the fields such as finance, accountancy, business management, commerce, economics, capital market, banking, insurance or actuarial science from a recognised university or institution, or
ii. A professional qualification by completing a post graduate program in the securities market (investment advisory) from NISM of a duration not less than one year, or
iii. A professional qualification by obtaining a CFA charter from the CFA institute, AND
iv. An experience of at least 2 years in activities relating to advice in financial products or securities or fund or asset or portfolio management.
c. Certification Requirement
An individual investment adviser or principal officer of a non-individual investment adviser, registered with SEBI under SEBI IA Regulations and persons associated with investment advice shall have, at all times a certification on financial planning or fund or asset or portfolio management or investment advisory services: –
i. from NISM or
ii. from any other organization or institution including Financial Planning Standards Board of India or any recognized stock exchange in India provided such certification is accredited by NISM
A fresh certification must be obtained before expiry of the validity of the existing certification to ensure continuity in compliance with certification requirements:
4. Validity of the Registration Certificate
The certificate of registration granted shall be valid till it is suspended or cancelled by the Board.
5. Fees Structure
SEBI fee structure
| Sr. No. | Particulars | Amount (INR) |
| Application Fees* | ||
| 1 | For non-individual | 10,000 |
| 2 | For individual and firms | 2,000 |
| Registration Fees** | ||
| 1 | For non-individual | 15,000 |
| 2 | For individuals and firms | 3,000 |
*Every applicant shall pay non-refundable application fees along with the application for grant of certificate of registration.
**Every applicant shall pay registration fee at the time of grant of certificate by the Board
An investment adviser who has been granted a certificate of registration, shall pay fee as mentioned below every 5 years, from the date of registration to keep its registration active.
- For non-individual: INR 5,000
- For individuals and firms: INR 1,000
BASL Membership fee structure:
| Sr. No. | Particulars | Amount (INR) |
| New Membership Fees | ||
| 1 | For non-individual | 3,00,000 |
| 2 | For individuals and firms | 6,000 |
| Renewal Membership Fees | ||
| 1 | For non-individual | 2,97,000 |
| 2 | For individuals and firms | 5,400 |
6. BASL Membership Requirement
Any person desirous of obtaining a certificate of registration as an Investment Adviser is required to first obtain membership of BASL and then make an application for grant of certificate of registration in the format of Form A along with necessary supporting documents.
7. Stepwise procedure for making application for registration
Step 1: Comply with the eligibility criteria, qualification and certification requirements and net worth criteria.
Step 2: Prepare the application and necessary documents.
Step 3: Submit application to BASL for in-principal approval.
Step 4: Submit application to SEBI.
Step 5: Communication by SEBI for further requirements.
Step 6: Submit the additional documents/ information.
Step 7: Communication by SEBI for approval of application.
Step 8: Pay registration fees.
Step 9: Issue of certificate by SEBI and BASL.
Conclusion: This comprehensive guide provides clarity on the requirements for registering as an Investment Adviser in India.
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Hope this article gives you clarity on the requirements for registration as an Investment Adviser. In case you have any queries or are looking for any professional assistance to make an application, you may write to me at mayank.jha@outlook.com or call us at +91 85060 28288.
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