Navigating Insider Trading Enforcement in India

Abstract

In recent years, the emergence of financial influencers, sometimes known as "FinFluencers," has substantially transformed the landscape of financial advising and investing techniques. This essay analyses the role of FinFluencers in the context of financial media, focusing on the recent case of imposition of fine on experts of Zee Business case, CNBC Awaaz case etc. This essay conducts a thorough review of the impact of FinFluencers on investor behaviour, market mood, and the transmission of financial information. It deeply studies how SEBI is acting as a regulator in the share market & taking measures to regulate financial influencers as well. Furthermore, how SEBI has acknowledged problems faced by investors at large through the actions of FinFluencers & SEBI has tried to curb such things through various orders & how FinFluencers come up, find a way and exploit the orders or guidelines of SEBI. The essay also discusses the regulations by which FinFluencers are governed, cross jurisdictional regulations for governance of Financial Influencers, their dark side and recent cases of their fraudulent activities. As, in today’s time, these financial influencers are more focused on the generation of their own money, becoming a profit-maker by exploiting other investors and improper or illegal regulation. Sometimes, the financial influencer is incompetent to give advice or sometimes he/she is advising just for the means of personal gains. Therefore, this essay seeks to provide valuable insights on the regulation of financial influencers, shedding light on their impact on investor decision-making, how they are taking advantage of their position, and the challenges faced by this emerging form of financial communication through recent cases.

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