SEBI relaxes call-recording rules for research analysts

The Securities and Exchange Board of India (SEBI) has announced a revision to the mandatory record-maintenance requirements for research analysts and research entities. Effective November 8, 2026, these entities will no longer be required to maintain call recordings of interactions specifically with institutional investors.

While call recordings for institutional clients are no longer mandatory, SEBI clarified that the broader obligation to maintain records of all client interactions remains in place. This is intended to document interactions to address potential client grievances. Records must be maintained for all clients, including both fee-paying and non-fee-paying clients receiving research services as a value-added offering.

Permitted forms of documentation include signed physical records, call recordings, registered email communications, SMS messages, and other legally verifiable records. SEBI noted that call recordings are unnecessary when interactions occur through channels like email, which already provide a digital footprint.

Records must be kept from the initial interaction until the completion of research services and must be preserved for five years. In the event of a dispute, records must be retained until the matter is resolved or until SEBI directs otherwise.