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 the earlier requirement of Series-XV certification for all PARS.

Summary

SEBI has relaxed certification requirements for Persons Associated with Research Services (PARS) who perform sales and other non-core services. Instead of the full NISM Series-XV: Research Analyst Certification Examination, such PARS (e.g., sales staff, relationship managers) now only need to pass the lighter NISM Series-XXV-A certification. This circular is effective immediately.

Key Points

  • A new, lighter NISM certification module — NISM Series-XXV-A: Persons Associated with Research Services (Sales and Other Non-Core Services) Certification Examination — is introduced for PARS performing sales and non-core functions.
  • PARS directly involved in research-related aspects must continue to hold NISM Series-XV: Research Analyst Certification Examination.
  • PARS who already hold valid NISM Series-XV certification are exempt from obtaining Series-XXV-A until their Series-XV certification expires.
  • The circular comes into force with immediate effect from March 11, 2026.

Regulatory Changes

  • Regulation 7 of SEBI (Research Analysts) Regulations, 2014 previously required all PARS to obtain NISM Series-XV certification.
  • Based on market participant feedback and ease-of-doing-business initiative, SEBI now bifurcates certification requirements:
    • Sales/non-core PARS → NISM Series-XXV-A
    • Research-core PARS → NISM Series-XV (unchanged)
  • Issued under Section 11(1) of SEBI Act, 1992, read with Regulation 7 of RA Regulations, 2014 and Regulation 3(1) of SEBI (Certification of Associated Persons) Regulations, 2007.

Compliance Requirements

  • Research Analyst Administration and Supervisory Body (RAASB) must:
    • Amend relevant bye-laws and rules to implement this circular.
    • Notify all registered Research Analysts and publish the circular on its website.
  • PARS (sales/non-core) who do not yet hold any NISM certification must now obtain NISM Series-XXV-A instead of Series-XV.
  • PARS (sales/non-core) who already hold NISM Series-XV need not obtain Series-XXV-A until their current certification expires.

Important Dates

  • March 11, 2026: Circular issued and effective immediately.
  • January 30, 2026: NISM Communique No. NISM/Certification/NISM Series-XXV-A/2026/01 issued, introducing the new examination.
  • February 14, 2025: Gazette Notification originally mandating NISM Series-XV for all PARS.

Impact Assessment

This circular reduces the compliance burden for sales staff and relationship managers at Research Analyst firms by allowing them to pass a lighter certification exam. It does not affect the core research analyst certification standard (Series-XV). The change is part of SEBI’s broader ease-of-doing-business initiative and is expected to lower entry barriers for non-research personnel in the research services ecosystem. No direct market or stock-specific impact is anticipated.

Impact Justification

Affects all registered Research Analysts and their associated sales/non-core staff regarding NISM certification requirements; not market-wide but significant for the research analyst ecosystem.