58 minutes ago
The Securities and Exchange Board of India (SEBI) has cautioned investors against so-called “live trading strategies” and “real-time strategies” being offered on social media platforms, flagging concerns over the use of live market data and the exchange of unregistered investment advisory services.
In a press release issued on Monday, SEBI said it had noticed certain individuals conducting live sessions on social media where they provide real-time tips on taking positions in the stock market. The regulator said these sessions are attracting substantial viewership, with live chats also being used to exchange what it described as unregistered advisory services.
What are these live trading sessions?
Typically, these are live broadcasts conducted during market hours on platforms such as YouTube and other social media channels. The person conducting the session may share a live screen showing market movements, charts, prices or trading positions and simultaneously explain what they believe the market is likely to do next.
The sessions can involve commentary such as when to enter or exit a trade, what position to take on an index, where a target could be reached and what strategy should be followed. SEBI specifically said some individuals claim to trade in real time while showcasing the performance of their trades, patterns emerging in the market and expected targets.
In practice, the format can make the session look like a live trading room: viewers watch the market move, the host analyses the movement and participants interact through a live chat. The concern for the regulator arises when such sessions move beyond general education and become specific, real-time trading calls or recommendations.
Why is SEBI concerned?
The central issue is live market data.
SEBI’s May 8, 2026 framework says market price data can be shared for investor education and awareness activities only with a 30-day lag. It also draws a distinction between education and advice: an entity engaged solely in education cannot use market data from the preceding 30 days to indicate future prices or provide advice or recommendations on securities.
SEBI’s latest warning makes clear that live market data cannot simply be used by individuals on social media to conduct real-time trading sessions, except where such access is permitted for orderly functioning of the securities market or regulatory requirements.
This is particularly important because a session presented as “education” can potentially become a real-time advisory service if the presenter starts telling viewers what to buy, sell, when to enter or exit, or what position to take.
Where does the problem arise?
The regulator’s concern is not simply about someone explaining how the stock market works.
There is a distinction between educational content and actionable investment advice. For example, explaining how a moving average works or analysing an old market chart is fundamentally different from using live prices to tell viewers that they should buy an index at a particular level, exit at another level or take a specific trading position.
SEBI had earlier identified the broader rise of financial influencers, or “finfluencers”, who use platforms such as YouTube, Instagram and other social media channels to discuss investing and securities. The regulator has noted that while some may genuinely be educators, others can effectively provide advice or recommendations without the necessary registration.
What happens through the live chat?
SEBI has specifically flagged the live-chat component of these sessions.
According to the regulator, live chats running alongside these broadcasts are being used to exchange unregistered advisory services.
That can potentially create a second layer to the session: while the presenter is broadcasting publicly, viewers may ask questions about particular stocks, trades or positions, and more specific advice can be exchanged through the chat or associated channels.
This is not SEBI’s first action against social-media-based advice
SEBI has been taking enforcement action against unregistered investment advisory activity and trading recommendations disseminated through social media.
In May 2026, the regulator passed an interim order in a matter involving stock recommendations given through social media.
SEBI has also recently initiated recovery proceedings against individuals in connection with trading-based stock recommendations disseminated through YouTube, including cases relating to recommendations in the scrip of Sadhna Broadcast.
In July, SEBI also passed a final order in a case involving an unregistered investment adviser operating under the name “Safe Trading”.
What has SEBI advised investors?
SEBI has asked investors not to trust claims made by people conducting such live trading sessions and not to base their investment decisions on them.
The regulator has advised investors to deal only with SEBI-registered intermediaries and remain vigilant while undertaking transactions in the securities market.
The latest warning therefore comes against the backdrop of a wider regulatory effort to draw a sharper line between financial education and investment advice, particularly as social media makes it easier for individuals to reach thousands of retail investors in real time.
The message from SEBI is clear: a live trading session that uses real-time market data and provides actionable trading calls should not simply be treated as investor education.
