'Sebi to prohibit use of live mkt data for investor education'

Sebi chairman Tuhin Kanta Pandey on Monday said the markets regulator will soon change the rules to prohibit the usage of current live market data for investor education.

- OUR CORRESPONDENT

The comments came days after Sebi imposed a penalty and ordered disgorgement of Rs 546 crore on ‘fininfluencer’ Avdhoot Sathe.

Pandey asserted that there is no “regulatory vacuum’ with educational rules and added that there may be a “lack of understanding” in this aspect.

“Our regulations clearly say that one cannot give stock tip advice” he told reporters on the sidelines of an event at the largest equity bourse, NSE, here.

He, however, admitted that there has been “inconsistency” in two Sebi circulars dealing with usage of live data for educational purposes and added that Sebi will soon address the issue.

“It is true that there has been an inconsistency in two of our circulars dealing with live data. We will get the consistency on it. Only past market data will be used for educational purposes; current data should not be used,” Pandey said.

Sebi had slapped a heavy penalty on Sathe and asked for the disgorgement of over Rs 546 crore of gains.