The market regulator has operationalised the Past Risk and Return Verification Agency (PaRRVA) framework to enhance transparency in performance claims made by market intermediaries.
Care Ratings has been granted recognition as the PaRRVA, while National Stock Exchange of India Limited (NSE) will function as the PaRRVA Data Centre (PDC), in line with the regulatory framework issued on April 4, 2025, SEBI said in a statement.
The regulator said a pilot phase of the system was launched on December 8, 2025. Following the successful completion of the pilot, PaRRVA will commence full-scale operations from May 4, 2026.
The initiative is designed to allow regulated entities to present verified performance metrics, while enabling investors to access reliable and standardised data for informed decision-making.
PaRRVA will validate performance claims related to investment advisory services, research services and algorithmic trading offerings. Moreover, regulated entities will be allowed to use such verified data in advertisements, subject to applicable regulatory guidelines.
The move is expected to curb misleading claims and bring greater accountability among intermediaries.
Published on April 29, 2026