Sebi firm on tweaking investment advisory norms The Securities and Exchange Board of India (Sebi) may go ahead with tweaking its investment advisory guidelines for mutual fund (MF) distributors, even as it faces opposition from the latter. In June, the markets regulator had proposed changes to the Sebi (Investment Advisers) Regulations, 2013, to prevent conflict of interest between “advising” and “selling” of investment products by the same entity or person. As part of its proposals, an entity offering investment advisory services shall not be permitted to offer distribution/execution services. Banks, nonbanking financial companies and corporate bodies have to form separate subsidiaries to offer advisory services. Sebi had proposed to scrap the practice of using “independent financial advisors” by distributors. Instead, they would be called “mutual fund distributors” or MFDs, and will not be allowed to offer any investment advice or financial planning services. MFDs registering as