1. Find out how the adviser is paid
In India, two very different kinds of people are called financial advisers. SEBI Registered Investment Advisers (RIAs) are paid a fee by the client and may not take commissions on products. Mutual fund distributors hold an AMFI Registration Number (ARN) and are paid trail commissions by fund houses on the money you invest through them.
Neither is dishonest by default, but the incentives differ. A distributor earns more when you buy commission-paying regular plans and stay invested in them; an RIA earns the same fee whatever you buy. Ask directly: "How do you get paid, and by whom?" The longer comparison is in fee-only vs commission-based advisers.
2. Verify the SEBI registration yourself
Do not rely on a logo or a certificate image. Search the adviser's name or registration number on SEBI's list of registered intermediaries at sebi.gov.in. Check three things: the registration number starts with INA, the registered name matches the person or firm you are talking to, and the registration is valid.
If you pay by UPI, SEBI also provides SEBI Check to confirm that a UPI ID belongs to a registered intermediary.
3. Know the SEBI fee limits
For individual and HUF clients, SEBI caps what a registered investment adviser can charge:
| Rule | Limit |
|---|---|
| Fixed-fee mode | Up to ₹1,51,000 per year per family |
| Assets-under-advice mode | Up to 2.5% of assets under advice per year per family |
| Advance fees | Up to one year in advance |
| Payment | Banking channels only; no cash |
These limits exclude GST and do not apply to non-individual clients or accredited investors. A fee above them, or a request for cash, is a reason to walk away.
4. Ask what you actually receive
A fee should buy something specific. Before you sign, ask for the scope in writing:
A documented plan: goals, cash flow, asset allocation and the reasoning behind it.
A review cadence: how often the plan is reviewed, and what triggers an earlier review.
Implementation: whether the adviser only advises or also helps you execute, and through which platforms.
Risk profiling: SEBI requires a registered adviser to assess your risk profile and suitability before advising you.
A signed agreement: SEBI requires an investment advisory agreement setting out fees and terms.
5. Watch for red flags
Promises of guaranteed or assured returns. Pressure to decide quickly. "Free" advice that always ends in a product. No registration number, or one that does not match the name. Requests to pay fees in cash or to a personal account that is not the registered entity. Tips on individual stocks sent over messaging groups.
Questions to ask in the first call
How are you paid, and is that fee your only income from me? What is your SEBI registration number? What will I receive in the first 90 days? How often will we review the plan? Do you execute transactions or only advise? How do you handle a conflict of interest if one arises?
Who a fee-only adviser suits
Paying for advice tends to make sense when you have meaningful assets, several goals to balance, irregular income, concentrated equity such as ESOPs or a founder stake, or estate questions. If you only need a single SIP set up, the fee may not be worth it.
How Advisoira fits
Advisoira is a SEBI Registered Investment Adviser (INA000022321, registered name Partha Harshal Deshpande) based in Mumbai, working with clients across India. It is fee-only: no commissions or distributor income. The fees are published: a Planning Blueprint at ₹25,000 one-time, or Annual Advisory at ₹10,000 flat or 0.6% of assets under advice, whichever is higher. You can start with the free Financial Health Check or the Mutual Fund Overlap Checker before deciding whether to talk to an adviser.
Frequently asked questions
How do I check if a financial adviser in India is SEBI registered?
Search the adviser's name or registration number on SEBI's list of registered intermediaries at sebi.gov.in. A SEBI Registered Investment Adviser has a registration number that starts with INA. Check that the registered name and validity match what the adviser tells you.
What is the difference between a SEBI RIA and a mutual fund distributor?
A SEBI Registered Investment Adviser (RIA) is paid a fee by the client and cannot earn commissions from products. A mutual fund distributor holds an AMFI Registration Number (ARN) and is paid trail commissions by fund houses, so the products it recommends also pay it.
How much can a SEBI registered investment adviser charge in India?
For individual and HUF clients, SEBI caps fees at ₹1,51,000 per year per family in the fixed-fee mode, or 2.5% of assets under advice per year in the AUA mode. Fees can be collected up to one year in advance and must be paid through banking channels, not cash. Limits do not include GST.
Is a fee-only financial adviser worth it?
A fee-only adviser tends to make most sense when you have meaningful assets, several goals, irregular income, concentrated equity or estate questions. If you only need a simple SIP set up, the fee may not be justified.
What questions should I ask a financial adviser before hiring them?
Ask how they are paid, for their SEBI registration number, what exactly you receive for the fee, how often they review your plan, whether they execute transactions or only advise, and how they handle conflicts of interest.