India's Finfluencer Economy Undergoes Regulatory Overhaul

Sebi Regulations Transform Finance Content Creation Landscape

Overview

The Securities and Exchange Board of India (Sebi) regulations have reshaped the finance content creation industry, compelling creators to adapt to new business models. Three primary routes have emerged: Research Analyst (RA), Registered Investment Advisor (RIA), and Mutual Fund Distributor (MFD).

Pivoting to Sustainable Business Models

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Some influencers have opted to pivot into businesses that can legally monetize their trust and expertise. Sharan Hegde, founder of The 1% Club, secured an RIA licence, while Shashank Udupa, founder of Vayu Capital, chose the RA route, focusing on subscription-based research products and planning a Portfolio Management Services (PMS) offering.

Vayu Capital's Success

Vayu Capital, launched in October 2025, has rapidly gained traction, with 1,800 subscribers and Rs 25 crore in Assets Under Management (AUM) in less than six months. Udupa's team is converting from an individual RA to a corporate RA, aiming to leverage corporate RA's flexibility and expand into the PMS route.

Impact on Brand Deals

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The regulatory reset has recalibrated brand demand, with established players now prioritizing high-quality deals over inflated fees. Brand deal values have decreased, with YouTube video integrations now fetching up to Rs 1.25 lakh for 5% fewer views, down from Rs 2 lakh in 2021-22.

Opportunities Ahead

Regulation has tightened, but the opportunity remains. Udupa views his YouTube channel as a "real estate asset," with long-term potential. He expects to hit 3,000 subscribers with revenue estimates of Rs 2.5 to 3 crore in year one, with a focus on sustainable business models and self-funding.

Future Plans

Udupa plans to invest excess funds in setting up a PMS and expanding research capabilities, including exploring an app-based system. The regulatory reset has forced a market reset, benefiting investors and credible creators who prioritize the long game.