Regulation of Financial Recommendations Provided by Individuals via Social Media

Regulation of Financial Recommendations Provided by Individuals via Social Media

by | Sep 16, 2026

The UAE’s Securities and Commodities Authority (“SCA”) issued the Chairman of the Authority’s Board of Directors’ Resolution No. (10/Chairman) of 2025 (“Resolution”), establishing the Middle East’s first regulatory framework governing natural persons who provide financial recommendations via social media (“Finfluencers”). The key aspects of the Resolution are summarized below:

Key Aspects Details
Purpose Regulation of natural persons publishing financial recommendations on social media, and requiring them to register with the SCA before doing so
Scope & Applicability Applies to natural persons within the Mainland:

  • providing financial recommendations to the public relating to issuers or financial products in UAE or abroad
  • providing recommendations on financial products, virtual assets, or any services regulated by SCA
  • issuers and SCA-licensed entities that engage or contract with Finfluencers for promotional purposes
Registration Conditions
  • Accredited financial analyst or CFA holder, and independent (not employed by an SCA-licensed entity)
  • Have influence on market participants measured by:
    • Minimum 1,000 real followers
    • At least 6 months’ financial or investment experience
    • Repeatedly provided professional recommendations
    • Previous recommendations quoted or reproduced by third-party specialized entities
Registration Process
  • Application to be submitted to the SCA & fees paid upon approval
  • The SCA shall approve, reject or approve with conditions within 5 business days
  • Registration is valid till 1 year and must be renewed annually
Obligations of Finfluencer
  • Disclosure of Identity – Disclose name/status (analyst or natural person), display SCA registration number on all recommendations/platforms, and disclose identity/qualifications of any co-contributors
  • Content Standards – Distinguish fact from opinion/forecast; cite reliable sources; explain methodology; stay objective and unbiased; disclose recommendation date/price, target audience, no-profit-guarantee, prior recommendation (past 12 months) on same asset, comparison details, and high-risk product status
  • Conflicts of Interest – Disclose any relationships, compensation, ownership, or roles (e.g., CEO, contractor) tied to the issuer/product that could affect objectivity
  • Third-Party Content – When sharing others’ recommendations, disclose the source’s identity, original publish date, any conflicts, and clearly label summaries/modifications with reference to the free original source
  • Recordkeeping – Keep supporting documents/records of all recommendations and provide them to the SCA on request
  • General Duties – Attend SCA training, advise investors to seek independent professional advice, follow the Code of Conduct, and comply with future SCA requirements
Obligations of Entities Dealing with a Finfluencer
  • Ensure Finfluencer is registered with the SCA
  • Review the recommendation’s content before publication to confirm it doesn’t violate applicable laws or SCA resolutions
  • Establish and publicly announce a written policy ensuring integrity in how Finfluencers are selected.
Violations & Penalties The penalties stipulated in first title of the Financial Activities Rulebook (administrative and financial sanctions) shall apply on violation of the Resolution along with suspension or cancellation of registration

The Resolution reflects the SCA’s commitment to curbing unregulated financial content on social media and safeguarding retail investors from misleading or biased investment recommendations, while formalizing a credible and accountable digital finance ecosystem in the UAE.

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