KUALA LUMPUR (March 27): Financial influencers, also known as finfluencers, will be subject to the guidelines on advertising for capital market products starting Nov 1.

Finfluencers, who mostly peddle stocks and other investment tips on social media and the internet, will be classified as advertisers as part of the revised guidelines on advertising for capital market products and related services issued by the Securities Commission Malaysia (SC) on Thursday.

Advertisers are also responsible for ensuring their marketing agents comply with the rules and may be held accountable for any non-compliance, the SC said in a statement.

The SC has further strengthened requirements for social media advertising to address its growing role in financial promotions. Additionally, the revised guidelines prohibit unauthorised individuals or entities from advertising services in the country.

Those that may not be engaged by any product issuer or service provider but would on their own accord still advertise the product or service to the public would also be subjected to the regulations.

The revisions are aimed at promoting responsible advertising across emerging platforms like social media while enhancing investor protection, the SC said.

"In reviewing and formulating the revised guidelines, the SC benchmarked against practices in Australia, the UK, and Singapore, and considered feedback from relevant stakeholders, including finfluencers," the SC added.