The Securities Exchange Board of India (SEBI) on May 18, 2026, issued the consultation paper regarding the Relaxation in requirement of maintenance of call records for institutional clients - Amendment to the SEBI (Research Analysts) Regulations, 2014.
The following has been stated:
• SEBI has issued a consultation paper proposing relaxation in the requirement for Research Analysts (RAs) to maintain call recordings of interactions with institutional investors. Currently, under the SEBI (Research Analysts) Regulations, 2014, and the Master Circular for Research Analysts, RAs are required to maintain records of all communications, including call recordings, emails, SMSs, and other legally verifiable records with clients and prospective clients for five years.
• Based on industry representations, SEBI noted that institutional investors are sophisticated entities with adequate expertise and due diligence capabilities. Accordingly, SEBI has proposed that maintaining call recordings for interactions with institutional investors should no longer be mandatory, while other records such as emails and SMSs shall still be preserved. The requirement to maintain all records, including call recordings, will continue for retail clients.
• The proposal also introduces a formal definition of “institutional investor” by linking it to the definition under the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018. The relaxation is intended to reduce compliance burden on RAs while adopting a risk-based and proportionate regulatory approach.
• Public comments on the proposal have been invited till June 08, 2026.
