SEBI’s Proposal For A Common Advertisement Code: Financial Advertisements Under The Regulatory Lens

Financial advertising regulation in India is fragmented, but the substantive rules are not necessarily very different. Most existing regimes already prohibit assured returns, misleading claims and inappropriate presentation of performance. What varies considerably is whether an advertisement requires prior approval, where it must be filed and how it is monitored.

SEBI’s proposed Common Advertisement Code in its¹ Consultation Paper dated 23 June 2026 seeks to address this procedural fragmentation. For stock brokers, investment advisers, research analysts and online bond platform providers, it would generally replace prior approval with a post-issuance reporting requirement. Advertisements would have to be reported promptly and, in any event, within 24 hours of publication. Prior approval would continue for celebrity endorsements.