SEBI addresses promotional schemes for micro SIPs amid financial inclusion efforts

The Securities and Exchange Board of India (SEBI) has reduced the minimum investment for Systematic Investment Plans (SIPs) to promote financial inclusion. This change aims to make investing more accessible to a wider audience. Concerns have emerged regarding promotional schemes from Multipl Wealth Management, which offers incentives like Swiggy Money for starting multiple SIPs. SEBI has stated that promotions guaranteeing returns are not allowed, as they violate investor protection rules. SEBI has also introduced a new rule requiring distributors to receive incentives only after 24 months of continuous SIP investments. This aims to ensure more responsible marketing practices in the investment sector.