Section 8 in Securities and Exchange Board of India (Research Analysts) Regulations, 2014
8. Capital adequacy.
(1)A research analyst who is individual or partnership firm shall have net tangible assets of value not less than one lakh rupees.(2)A research analyst who is body corporate or limited liability partnership firm shall have a networth of not less than twenty five lakh rupees.(3)All existing research analysts shall comply with the capital adequacy requirement within one year from the date of commencement of these regulations.Explanation. - For the purposes of this regulation, "networth" means the aggregate value of paid up share capital plus free reserves (excluding reserves created out of revaluation) reduced by the aggregate value of accumulated losses.
