India’s market regulator, the Securities and Exchange Board of India (SEBI), has proposed a 30-day delay in sharing and using price data of listed companies for educational and investor awareness purposes. This move aims to prevent misuse of market data while ensuring the educational content remains relevant. SEBI’s consultation paper aims to address confusion caused by existing rules on stock price data usage for educational activities.
The proposal suggests a uniform 30-day lag for both sharing and using price data for educational and awareness activities. SEBI emphasized that individuals solely engaged in education must comply with the regulations outlined in the January 2025 circular. The market regulator has invited public feedback on this proposal until January 27, 2026.
Currently, two SEBI circulars govern the use of price data for educational purposes. One circular from May 2024 permits stock exchanges to share price data for educational activities with a one-day delay. In contrast, another circular from January 2025 restricts entities involved in education to use price data that is at least three months old. SEBI acknowledged the confusion arising from the coexistence of these two circulars.
SEBI highlighted that using real-time price data for educational purposes could blur the distinction between investor education and regulated activities like investment advisory. The regulator explained that analyzing current market prices to predict future movements falls under advisory functions, necessitating regulatory oversight.
