SEBI widens accredited investor rules, okays celebrity ads and new trade settlement plan

SEBI has broadened the accredited investor definition by adding asset‑based criteria for both individuals and companies. The board also cleared a common advertisement code that lets celebrities endorse brands but bars them from promoting specific products. In addition, the regulator rolled out a settlement scheme aimed at non‑genuine trades in illiquid stock‑option contracts. The changes are intended to make the accreditation process simpler and to push more non‑convertible debt securities onto the market. The new asset thresholds apply to any person or firm that can show holdings above the prescribed limits. Under the ad code, a famous face may appear in a general brand campaign, yet any direct claim about a product’s features must be avoided. The settlement mechanism will address bogus transactions by forcing parties to settle at a pre‑determined price, reducing market manipulation risk. SEBI officials say these steps will attract a wider pool of investors and improve market depth. The move follows earlier calls for clearer rules around who can invest in private placements and how marketing can be done without misleading consumers. By easing accreditation and tightening trade integrity, SEBI hopes to boost confidence in the capital market and support the growth of debt‑instrument listings.