Description

SEBI introduces a lighter NISM certification module (Series-XXV-A) for Persons Associated with Research Services (PARS) performing sales and other non-core services, easing compliance burden for research analysts.

Summary

SEBI has issued a circular (HO/38/12/(5)2026-MIRSD-POD/I/6703/2026) dated March 11, 2026, introducing a lighter NISM certification module for Persons Associated with Research Services (PARS) who perform sales and other non-core services. Previously, all PARS were required to pass the NISM Series-XV: Research Analyst Certification Examination. Under the revised framework, sales staff, relationship managers, and other non-core service personnel need only pass the new NISM Series-XXV-A examination.

Key Points

  • A new, lighter NISM certification — NISM Series-XXV-A: Persons Associated with Research Services (Sales and Other Non-Core Services) Certification Examination — is introduced for PARS in non-research roles.
  • PARS directly involved in research activities must continue to obtain NISM Series-XV: Research Analyst Certification Examination.
  • PARS who have already obtained NISM Series-XV certification are exempt from taking Series-XXV-A until their existing certification expires.
  • The circular takes effect immediately.
  • RAASB is directed to amend its bye-laws and rules and disseminate this circular to registered Research Analysts.

Regulatory Changes

  • Regulation 7 of SEBI (Research Analysts) Regulations, 2014 governs the certification requirements for PARS.
  • Previously, all PARS (regardless of role) were required to obtain NISM Series-XV certification per the Gazette Notification dated February 14, 2025.
  • This circular bifurcates the certification requirement:
    • Sales and non-core PARS → NISM Series-XXV-A
    • Core research PARS → NISM Series-XV (unchanged)
  • Issued under Section 11(1) of SEBI Act, 1992 and Regulation 3(1) of SEBI (Certification of Associated Persons in the Securities Markets) Regulations, 2007.

Compliance Requirements

  • Research Analyst firms: Identify PARS performing sales and non-core functions and ensure they enroll for and pass the NISM Series-XXV-A examination.
  • PARS (sales/non-core): Must obtain NISM Series-XXV-A certification going forward. Those already holding Series-XV need not re-certify until expiry.
  • PARS (core research): Continue to hold NISM Series-XV certification; no change.
  • RAASB: Must amend relevant bye-laws/rules and publish the circular on its website.

Important Dates

  • March 11, 2026: Circular issued and effective immediately.
  • February 14, 2025: Prior Gazette Notification mandating NISM Series-XV for all PARS (now partially superseded).
  • January 30, 2026: NISM Communique No. NISM/Certification/NISM Series-XXV-A announcing the new examination.

Impact Assessment

This circular reduces the certification burden for sales staff, relationship managers, and other non-core personnel at Research Analyst firms by allowing them to take a lighter, more appropriate certification exam. It is an industry-friendly measure under SEBI’s Ease of Doing Business initiative. The impact is primarily operational for Research Analyst firms and RAASB, with no direct effect on trading or listed securities. Firms with large sales teams associated with research services will benefit from reduced compliance costs and exam difficulty.

Impact Justification

Regulatory change affecting all registered Research Analysts and their associated sales/non-core staff regarding NISM certification requirements. No immediate trading or market impact, but compliance-relevant for the research analyst industry.