The Securities and Exchange Board of India (SEBI) has allowed celebrities to endorse mutual fund products at the industry level.
The purpose is of increasing awareness of mutual funds as a financial product category.
However, such endorsements will be not used as a branding exercise of an asset management company or promoting scheme of a particular mutual fund.
Prior approval of SEBI will be required for issuance of such advertisements which feature celebrities.
SEBI also issued new advertising code that will require fund houses to communicate in a simple manner with the public.