New Delhi, April 3 -- Investment advisors (IAs) and research analysts (RAs) can charge their fees in advance for one year instead of three months earlier, the Securities and Exchange Board of India (Sebi) said in a circular.

Sebi has received a number of representations regarding the restrictions on advance fees. According to stakeholders, the three-month limitation disincentivises RAs and IAs from making long-term recommendations.

The market regulator considered the feedback and floated a consultation paper to increase the advance fee period for both IAs and RAs to one year.

Investment advisors and research analysts are expected to ensure compliance with the following fee-related provisions:

I. One year: If agreed by the client, IAs ...