SEBI Alerts Investors Against Unregistered Live Trading Strategies

SEBI issued a warning to investors on August 17, 2026 against participating in live trading strategies and market positions being offered through social media platforms and unregulated online sessions. The regulator flagged growing instances of individuals and entities conducting live trading advisory sessions on social media, offering real-time market positions and trading advice without proper registration or authorization from SEBI. These sessions typically operate outside the formal regulatory framework governing securities market intermediaries, exposing retail investors to unvetted advice and potential fraud. SEBI emphasized that investors should rely exclusively on registered brokers, sub-brokers, and investment advisers who are subject to SEBI's regulatory compliance requirements and surveillance. The advisory is significant because it addresses the broader challenge of unauthorized financial advice proliferating on digital platforms, where enforcement is difficult but investor harm is real. Market participants, including brokers and compliance teams, should educate clients about the dangers of unregistered advisory sources. Investors should verify that any person or entity offering trading advice is properly registered with SEBI before engaging with them.