IS COPY TRADING LEGAL IN INDIA IN 2025?

Is Copy Trading Legal in India in 2025?

Is Copy Trading Legal in India in 2025?

Blog Article

Copy trading has become a popular way for beginners and time-strapped investors to participate in the stock market. But one major question still confuses many: Is copy trading legal in India in 2025?

Let’s break it down.

What is Copy Trading?

Copy trading allows you to automatically replicate the trades of experienced traders. When they buy or sell, the same actions happen in your trading account.

This method is often used by:


  • New traders looking to learn,

  • Investors who don’t have time to research,

  • Or people who want to follow professional strategies without much effort.


Legal Status of Copy Trading in India (2025 Update)
As of 2025, copy trading in India is not officially regulated by SEBI (Securities and Exchange Board of India). This means:

  • It’s not illegal, but also not fully legal or recognized under current Indian trading law

  • SEBI has not yet provided clear guidelines or licenses for copy trading platforms like it has for brokers or mutual funds.


So, you can copy trade in India, but only through platforms or brokers that follow proper legal structures — typically under PMS (Portfolio Management Services) or registered algo trading services.

Risks of Unregulated Copy Trading

Many platforms offer copy trading using APIs or third-party tools without proper compliance. This poses several risks:

  • No investor protection if something goes wrong.

  • Lack of transparency on trader performance.

  • Violation of SEBI rules if trades are made without permission or client agreement.


Hence, it’s important to choose a SEBI-compliant provider or technology that works with registered brokers.

How Combiz Services Pvt Ltd Enables Legal Copy Trading

Combiz Services Pvt Ltd offers one of the most trusted and compliant copy trading software solutions in India. In 2025, the company ensures that:

  • All trades are routed through authorized stock brokers,

  • Client consent and risk disclosures are properly handled,

  • Copy trading is done using secure, rule-based platforms.


Whether you're using Angel One, Zerodha, or Alice Blue, Combiz helps you copy trades legally and transparently

Visit: https://copytrading.combiz.org

Is Copy Trading Allowed by Indian Brokers?

Some Indian brokers like Alice Blue, Angel One, and Kotak Securities support API-based automation, which can be used for copy trading. However:

  • You must ensure the system doesn’t violate SEBI guidelines.

  • The platform must not execute trades without user consent.


Combiz Services Pvt Ltd uses Master-Child Auto Copy systems where trades are copied with clear visibility and transparency.

Final Thoughts: Should You Use Copy Trading in 2025?

So, is copy trading legal in India in 2025?

Yes — if done responsibly and through the right channels.

Make sure to:

Choose a SEBI-compliant platform or provider,

Avoid shady Telegram/WhatsApp signal services,

Go with trusted software like Combiz Copy Trading Software.

FAQs

Is copy trading banned in India?

No, it is not banned. It’s in a grey area and must be done through regulated brokers or platforms with caution.

Can I copy trade on Zerodha or Angel One?

Yes, using tools like those from Combiz Services Pvt Ltd that support API-based execution under broker rules.

Is copy trading taxable in India?

Yes, profits from copy trading are treated like regular trading income and are subject to taxes under Indian law.

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