Business
Only 4 qualified brokers join Sebi’s PaRRVA verification platform
Business Standard··13h ago
Only 4 qualified stock brokers have enrolled on PaRRVA, Sebi’s past risk and return verification platform, sources told Business Standard. Total participation across intermediaries is around 360, including over 250 research analysts and around 110 investment advisors. Sebi has been nudging brokerages to join the platform, which was operationalised in May. An industry participant cited high annual costs.
Prism
What It Means For You
- Advisers and analysts are required to register on the platform and route their investment calls through it during a 90-day cooling-off period before verified metrics can be displayed.
- Investment advisers and research analysts that do not enroll within three months of operationalisation will not be permitted to communicate certified past performance data to clients.
- Two years after operationalisation, advisers and analysts will be permitted to display only PaRRVA-verified risk and return metrics.
What's Happening
- PaRRVA was operationalised in May with Care Ratings as the verification agency and the National Stock Exchange as the data centre.
- Groww, HDFC Securities, Angel One and SMC Global are the qualified brokers onboarded so far. Sebi data shows around 2270 registered research analysts and 1048 investment advisors as of October 11.
- Emailed queries to Sebi remained unanswered. Pankaj D Prasade of CARE Ratings said onboarding has remained robust since the commercial launch on 4th May 2026.
What Participation Costs
- Qualified stock brokers offering advisory or research services can pay a fixed Rs 1 crore a year, or Rs 12.5 lakh per recommendation type. A trading member pays Rs 40 lakh annually or Rs 5 lakh per recommendation.
- The industry participant, who did not wish to be named, said, “We believe everything about this platform is great, except its cost.”
- The agency independently verifies historical risk and return metrics of intermediaries such as research analysts, investment advisors and algo providers.
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