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Investment adviser conduct: restrictions on free trials, mandatory risk profiling, non-cash fee collection and public complaint disclosure. Advisers are prohibited from offering free trials or accepting part payments; must complete client risk profiling and obtain client consent to the profile; accept fees only via traceable banking channels (crossed cheque, demand draft or direct credit through NEFT/RTGS/IMPS/UPI) and must not accept cash; and must display monthly complaint statistics and reasons for pendency prominently on their website or app to enhance transparency and investor protection.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Investment adviser conduct: restrictions on free trials, mandatory risk profiling, non-cash fee collection and public complaint disclosure.
Advisers are prohibited from offering free trials or accepting part payments; must complete client risk profiling and obtain client consent to the profile; accept fees only via traceable banking channels (crossed cheque, demand draft or direct credit through NEFT/RTGS/IMPS/UPI) and must not accept cash; and must display monthly complaint statistics and reasons for pendency prominently on their website or app to enhance transparency and investor protection.
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