SEBI Introduces Simplified NISM Certification for PAIAs
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- Last Updated on 1 September, 2026
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Circular no. HO/38/12/11(5)2026-MIRSD-POD/I/14660/2026; Dated: 24.06.2026
SEBI has introduced a lighter NISM certification module for Persons Associated with Investment Advice (PAIA). The new module is intended for staff members who interact with clients but are not directly involved in providing investment advice.
The circular is effective immediately.
1. Applicability of the New Certification Module
The lighter certification module will apply to persons associated with investment advisers who perform sales or non-core services.
These may include:
- Sales staff;
- Relationship managers; and
- Other client-facing staff performing non-advisory functions.
2. Staff Not Directly Involved in Investment Advice
The certification requirement is meant for staff members who have contact with clients but do not directly provide or participate in investment advice.
Such persons may assist in client servicing, sales support or operational communication, but they are not responsible for making investment recommendations or advisory decisions.
3. Distinction Between Core and Non-Core Advisory Functions
SEBI has recognised the need to differentiate between persons directly involved in investment advice and those performing only sales or support functions.
Accordingly, the lighter module is expected to provide a more proportionate certification requirement for non-core personnel.
4. Objective of the Circular
The circular aims to:
- Rationalise certification requirements for investment adviser-related staff;
- Reduce compliance burden for persons performing non-core functions;
- Ensure basic regulatory awareness among client-facing personnel;
- Maintain appropriate standards for investor interaction; and
- Distinguish advisory roles from sales and support roles.
5. Effective Date
The circular shall come into force with immediate effect.
6. Key Takeaway
SEBI has introduced a lighter NISM certification module for Persons Associated with Investment Advice (PAIA), including sales staff, relationship managers and other client-facing personnel who perform only sales or non-core services and are not directly involved in investment advice. The circular is effective immediately.
Click Here To Read The Full Circular
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