The Bombay Stock Exchange (BSE) on November 21, 2025, notified regarding the performance metric for the communication of certified past performance by Investment Advisers (IAs) and Research Analysts (RAs) to the clients.
The following has been stated namely: -
• It outlines the mandatory performance metrics that Investment Advisers (IAs) and Research Analysts (RAs) shall use when sharing certified past performance with clients, as per SEBI’s circular dated October 30, 2025.
• The metrics include options such as absolute returns, CAGR, rolling returns, hit/miss ratios, range of returns and performance charts, with flexibility to choose one or more. Any such communication shall include certification from ICAI/ICMAI, disclosures, assumptions, methodology, and disclaimers to ensure transparency and standardization.
• IAs and RAs are required to follow a single, consistent calculation method for each category of advice.
[Notification no. - 20251121-3]
