SEBI's new ad code: what it means for finfluencer deals in India

SEBI has replaced the patchwork of advertising rules for India's market intermediaries with one rulebook. The Common Advertisement Code was notified on 8 October 2026 through an amendment to the SEBI (Intermediaries) Regulations, as Business Standard reported, and published in the Gazette on 9 October. For anyone running creator campaigns in finance, it is the most important rule change of the year.

Who does SEBI's ad code apply to?

It covers SEBI-regulated entities: stock brokers, depository participants, investment advisers, research analysts, online bond platforms, portfolio managers, and mutual funds and their asset management companies. MediaNama reports it supersedes the existing ad codes for these firms and also reaches mutual fund distributors engaged by AMCs.

It does not apply to an unregistered finfluencer acting alone. But every paid post a creator makes for a broker or AMC is that firm's advertisement, so the rules travel with the brief.

When does it come into force?

The regulations take effect on the 180th day after Gazette publication. MediaNama puts that in April 2027. A compliance analysis by Neurasix counts it to 7 April 2027, while noting the notification itself prints no calendar date. Treat the exact day as an estimate until SEBI or the supervisory bodies confirm it.

Which influencers count as celebrities?

The code lists several tests for a "celebrity": film, TV and OTT leads, national sportspersons, TV hosts, people in a national celebrity index, and influencers above ASCI's follower threshold on any one platform. Virtual, computer-generated influencers are included too.

The June draft fixed that threshold at five lakh followers. The final version links it to ASCI instead, so it moves if ASCI revises its own rule, according to MediaNama. Today, ASCI's celebrity guidelines, updated in August 2023, count anyone with 5,00,000 or more followers on a single handle, or anyone paid ₹40 lakh a year for ads.

Founders and senior managers appearing in their own firm's ads are not treated as celebrities.

What changes for celebrity and influencer ads?

• Prior approval. Celebrity ads need clearance from the relevant supervisory body (such as a stock exchange or AMFI) before they run. MediaNama reports the body must decide within four working days.
• Brand level only. Business Standard reports celebrities may endorse the firm or brand, and may name products, but cannot make claims or inducements about a specific product.
• Costs stay with the firm. Endorsement fees cannot be passed on to clients or charged to a mutual fund scheme.
• Other ads need no prior approval but must be uploaded to the supervisory body's portal within three working days. The draft had asked for 24 hours.

What can't a finance ad say?

The code bans guaranteed or risk-free return claims, testimonials, hints that past returns will repeat, and vague phrases like "high returns" without basis. It also bars coupons or vouchers that push people to trade or download an app, and the dark patterns listed in the CCPA's 2023 guidelines. Ads must show the firm's name, SEBI registration number and required disclaimers, and any statistic needs a source and date.

If a third party publishes an ad for a firm without consent, the firm must act within seven days of learning about it and disclose it on its website, per MediaNama and Neurasix. That clause matters for affiliate creators who post without a contract.

Our take from Delhi

Finance briefs with mid-tier creators below five lakh followers will get simpler to run than celebrity ones, so expect more brokers and AMCs to spread budgets across many smaller creators. Approval windows of up to four working days mean trend-led, same-day posts will not work for large accounts. We would start adding the SEBI registration line, disclaimer text and a no-returns-claims clause to finance creator contracts now, rather than in March.