The Securities and Exchange Board of India (“SEBI”), in exercise of powers conferred under Section 11(1) of Chapter IV of the Securities and Exchange Board of India Act, 1992, vide Circular No. SEBI/HO/MIRSD/PODFATF/P/CIR/2025/62,[1] dated May 06, 2025, has issued a circular mandating all KYC Registration Agencies (“KRAs”) to publish an Investor Charter on their websites and at prominent physical locations in their offices (“Circular”). The provisions of the Circular shall come into effect immediately.
Key Highlights of the Circular include:
- Investor Charter Introduction: SEBI has developed a standardized Investor Charter for KRAs detailing:
- Services provided to investors
- Investor rights
- KRA-related activities
- Dos and Don’ts for investors
- Grievance redressal mechanisms
- Mandatory Dissemination: All registered KRAs are required to:
- Publish the Investor Charter (as specified in Annexure A of the Circular) on their websitesShare the same with investors through email communications
- Display the Investor Charter at prominent locations in their offices
- Additional Requirement: These obligations are in addition to existing SEBI disclosure requirements applicable to KRAs.
[1]https://www.sebi.gov.in/legal/circulars/may-2025/publishing-investor-charter-for-kyc-know-your-client-registration-agencies-kras-on-their-websites-_93811.html