individual from registration including those who give general advice in good faith, advocates, who advice their clients incidental to legal practice and insurance agents who give investment advice solely on insurance products.
"An investment adviser shall act in a fiduciary capacity towards its clients and shall disclose all conflicts of interests as and when they arise," Sebi said.
The regulator said existing investment advisers seeking registration under the regulations should ensure their partners and representatives obtain such certification within two years from the date of commencement of these regulations and the same is renewed before the expiry.
Sebi said an individual registered as an investment adviser, partner or representative of an investment advisor registered under these regulations offering investment advice should have professional qualification or post-graduate degree/ diploma in finance, accountancy, business management, commerce, economics, capital market, banking, insurance.
Alternatively, a graduate in any discipline with an experience of at least five years relating to advice in financial products/securities/fund/asset or portfolio
management would also qualify.
Last year Sebi had said entities providing paid investment advice to various market players would be regulated. In 2011, Sebi had floated a paper on regulating investment advisers and the same had received good response.