The Bombay Stock Exchange (BSE) on December 22, 2025, notified regarding the Distribution of third-party products by Trading Members.
The following has been stated namely: -
• The exchange has clarified that stockbrokers shall strictly adhere to the framework on distribution of third-party products prescribed in Exchange Notice dated June 16, 2025. Even if a stockbroker is also registered as a Research Analyst, they are not permitted to distribute or offer lending products such as home, vehicle, personal, education loans, or LAS, except those specifically allowed by SEBI (e.g., MTF, T+1+5 funding).
• The clarification follows SEBI’s July 23, 2025, FAQs and addresses instances where brokers were distributing banking loan products.
• Members are advised to ensure strict compliance with the Exchange guidelines to avoid regulatory violations.
[Notification no. - 20251222-13]
