Home/ Markets / Stock Markets/  NSE restricts traders from using 61 words like mutual funds, advisor among others

The National Stock Exchange or NSE on Thursday restricted members and authorised persons from using names such as advisor, mutual funds, mutual fund services, capital manager, fund advisor, and asset/wealth/portfolio management among others.

The Mumbai-based stock exchange said it creates a wrong impression among investors.

“It is observed by Exchange that Trading Members/Authorized Persons are using words such as Advisors, Asset/Wealth/Portfolio Management etc. in their name which is misleading and may indicate to the clients/investors that the Trading Members/Authorized Persons are registered for offering services other than broking services without having the applicable registration for those services with SEBI/other regulators," NSE said in a statement.

"The name of Trading Member/Authorized Person should reflect the registration held by the entity and should not in any way create an impression of performing a role for which the entity is not registered," the circular read.

The reason behind this development is to prevent investors from getting misled to the fact that the traders are registered for offering services other than broking services without having the applicable registration.

After this order, the members can only use the listed nomenclatures only if they have registered themselves in that capacity with SEBI or with other regulators. However, it may be noted that the list provided is illustrative and not exhaustive, the circular clarified.

Here are the 61 words that the exchange has listed that are not permitted to be used by traders. Full list below:

1. Adviser/Advisor

2. Advisory Services

3. Asset

4. Asset Advisory

5. Asset consultancy

6. Asset distribution

7. Asset management

8. Asset manager

9. Asset services

10. Asset consultants

11. Capital Adviser/Advisor

12. Capital management

13. Capital services

14. Corporate advisory

15. Financial planner/s

16. Financial planning

17. Fund Adviser/Advisor

18. Fundmart

19. Independant Financial Adviser/IFA

20. Investmart

21. Investment Adviser/Advisor

22. Investment consultancy

23. Investment consultancy services

24. Investment consultant/s

25. Investment consulting

26. Investment manager/s

27. Investment planners

28. Investment solutions

29. Money manager

30. Multi Wealth investments

31. Mutual fund services

32. Mutual funds

33. Portfolio

34. Portfolio advisory

35. Portfolio consultancy

36. Portfolio consultants

37. Portfolio management

38. Portfolio manager

39. Portfolio services

40. prime wealth

41. wealth

42. wealth adviser/s or wealth advisor/s

43. wealth advisory

44. wealth advisory services

45. wealth care

46. wealth chanakya

47. wealth consultancy

48. wealth consultants

49. wealth consulting

50. wealth creator/s

51. wealth express

52. wealth investment

53. wealth mall

54. wealth management

55. wealth manager/s

56. wealth planner

57. wealth plus

58. wealth services

59. wealth solution/s

60. wealth vision

61. wealth yantra

Further, the NSE has advised traders to comply with this order in the exchange and also with the Registrar of Companies by 31 March, 2023 in case the listed nomenclatures are being used.

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Updated: 23 Feb 2023, 12:47 PM IST
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