SEBI has introduced a new, lighter certification module for Persons Associated with Research Services (PARS) who perform sales and other non-core services. The NISM Series-XXV-A certification is designed to reduce the compliance burden on staff who are not directly involved in research. This article provides a comprehensive technical analysis of the new certification.
Regulatory Basis
Primary Circular: HO/38/12/(5)2026-MIRSD-POD/I/6703/2026
SEBI issued the circular on "Ease of Doing Business – Relaxation in certification requirement for Persons Associated with Research Services (PARS) – Sales and other non-core services" on March 11, 2026.
Gazette Notification
The Securities and Exchange Board of India (Certification of Associated Persons in the Securities Markets) Regulations, 2007 was amended on February 14, 2025, to specify certification requirements for PARS.
What is NISM Series-XXV-A?
Full Name
NISM Series-XXV-A: Persons Associated with Research Services (Sales and Other Non-Core Services) Certification Examination
Purpose
To certify persons associated with research services who perform sales and other non-core services, have client contact, but are not directly associated or involved in research related aspects.
Characteristics
- Lighter certification
- Compared to NISM Series-XV
- Focused on sales and non-core roles
Who Needs NISM Series-XXV-A?
Applicable Personnel
- Sales staff
- Service relationship managers
- Client relationship managers
- Other non-core staff
- Staff who have client contact
- Staff not directly involved in research
Classification
These personnel are deemed to be persons associated with research services but are not involved in research aspects.
Who DOES NOT Need NISM Series-XXV-A?
1. Core Research Professionals
- Individual RAs
- Principal officers
- Individuals employed as research analysts
- Partners engaged in research
Certification: NISM Series-XV
2. Personnel Already Holding Series-XV
Staff who have already obtained NISM Series-XV certification are not required to immediately take Series-XXV-A.
Grandfathering: They may continue with their existing certification and switch to the new module only upon its expiry.
3. Personnel Not Having Client Contact
Staff who do not have client contact and have no connection with research services.
Exemption: Not required to obtain NISM certification.
Comparison: Series-XV vs Series-XXV-A
| Parameter | Series-XV | Series-XXV-A |
|---|---|---|
| Full Name | Research Analyst Certification | PARS (Sales and Non-Core Services) |
| Target Audience | Core research professionals | Sales and non-core staff |
| Difficulty | Higher | Lighter |
| Depth | Comprehensive | Focused |
| Validity | As specified | As specified |
Grandfathering Provision
Existing Series-XV Holders
Staff who have already obtained NISM Series-XV certification are not required to immediately take Series-XXV-A.
Transition
They shall obtain NISM Series-XXV-A certification only after expiry of the validity of their NISM Series-XV certification.
Compliance Timeline
Effective Date
March 11, 2026 (date of the circular).
Implementation
RAs must ensure compliance with the new certification requirements.
Common Compliance Gaps
1. Not Identifying Eligible Staff
Some RAs do not identify staff eligible for Series-XXV-A.
Solution: Identify all sales and non-core staff.
2. Not Obtaining Certification
Some RAs do not ensure staff obtain the required certification.
Solution: Ensure staff obtain Series-XXV-A certification.
3. Incorrect Certification
Some RAs have staff obtain the wrong certification.
Solution: Ensure staff obtain the appropriate certification.
4. Misunderstanding Grandfathering
Some RAs misunderstand the grandfathering provision.
Solution: Understand and apply the grandfathering provision.
Conclusion and How Anuj Desai & Associates Can Help
NISM Series-XXV-A provides a lighter certification option for sales and non-core staff.
Anuj Desai & Associates offers specialized services to help RAs implement the new certification:
- Staff identification and classification
- Certification guidance
- Compliance audit and advisory
Contact us today to ensure your staff certifications comply with SEBI requirements. Our team will guide you through the process.
Disclaimer: This article is for informational purposes only and does not constitute legal advice. Readers are advised to consult qualified professionals for legal and compliance matters. Anuj Desai & Associates is a SEBI compliance consulting firm based in India.