CIRCULAR
HO/38/12/11(5)2026-MIRSD-POD/I/14660/2026 June 24, 2026
To,
All registered Investment Advisers,
Investment Adviser Administration and Supervisory Body (IAASB)
Madam/ Sir,
Sub: Ease of Doing Business – Relaxation in certification requirement for
Persons Associated with Investment Advice (PAIA) – Sales and other non-
core services
1. In terms of Regulation 7 of Securities and Exchange Board of India (Investment
Advisers) Regulations, 2013 (“IA Regulations”), Persons Associated with
Investment Advice (PAIA), shall, inter-alia, obtain relevant certification from
National Institute of Securities Market (NISM).
2. Vide Gazette Notification dated January 02, 2025 under Securities and Exchange
Board of India (Certification of Associated Persons in the Securities Markets)
Regulations, 2007, it was, inter-alia, specified that PAIA shall obtain certification
from NISM by passing the “NISM Series-X-A: Investment Adviser (Level 1)
Certification Examination” and the “NISM Series-X-B: Investment Adviser (Level 2)
Certification Examination”.
3. Based on the feedback from market participants and as a step towards ease of
doing business, it has been decided to specify a lighter NISM certification module
for PAIA, such as sales staff, relationship managers and other staff, who only
perform sales and other non-core services. These staff have contact with the client
but are not directly associated or involved in investment advice related aspects.
4. Accordingly, the following is being specified:
4.1. PAIA, who perform only sales and other non-core services, shall obtain
certification from NISM by passing the “NISM Series–XXV-B: Persons
Associated with Investment Advice (Sales and Other Non-Core Services)
Certification Examination”, as mentioned in the NISM Communique No. NISM/
Certification/ NISM-Series-XXV-B: Persons Associated with Investment
Advice (Sales and Other Non-Core Services) Certification Examination/ 2026/
01 dated May 18, 2026.
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4.2. PAIA, other than those who perform sales and other non-core services, shall
continue to obtain certification from NISM by passing the “NISM Series-X-A:
Investment Adviser (Level 1) Certification Examination” and the “NISM Series-
X-B: Investment Adviser (Level 2) Certification Examination”.
5. The PAIA (as referred at paragraph 4.1 above) who have already obtained the
NISM Series-X-A and NISM Series-X-B certifications, as on the date of this circular,
shall not be required to undertake the NISM Series-XXV-B certification at this
stage. Such PAIA shall obtain NISM Series-XXV-B certification only before expiry
of the validity of their existing certifications.
6. The provisions of this circular shall come into force with immediate effect.
7. The Investment Adviser Administration and Supervisory Body, is advised to:
7.1. make necessary amendments to the relevant bye-laws and rules, for the
implementation of this circular; and
7.2. bring the provisions of this circular to the notice of the registered Investment
Advisers and also disseminate the same on its website.
8. This circular is issued in exercise of powers conferred under Section 11(1) of the
Securities and Exchange Board of India Act, 1992, read with Regulation 7 of the
Securities and Exchange Board of India (Investment Advisers) Regulations, 2013
and Regulation 3(1) of SEBI (Certification of Associated Persons in the Securities
Markets) Regulations, 2007, to protect the interests of investors in securities and
to promote the development of, and to regulate the securities markets.
9. This circular is issued with the approval of the competent authority.
10. This circular is available on SEBI website at www.sebi.gov.in under the
category: ‘Legal → Circulars’.
Yours faithfully,
Divya Hamirbasia
Deputy General Manager
022-26449293
divyah@sebi.gov.in
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