SEBI & Meta Special Ad Category: 6 Marketing Moves Financial Services Can’t Ignore

Meta just made every financial advertiser’s life more complicated. Again.

If you’re running ads for mutual funds, stock brokers, or any investment service in India, you need to know about the new Meta special ad category rules. 

Starting July 31, 2025, Meta requires SEBI verification for all financial ads targeting Indian audiences. The new meta special ad category, called Financial and Insurance Products and Services, replaces the old credit-only system. It covers everything from mutual funds to cryptocurrency exchanges.

Wondering what’s next? Stick around to know the 6 best marketing strategies to navigate these changes smoothly. 

What Changed in the Meta Special Ad Category?

Remember when the Facebook special ad category only applied to loans and credit cards? Those days are over.

1) Meta (Facebook, Instagram, WhatsApp) announced on June 26, 2025, that all financial services advertising to Indian users must show SEBI credentials. If your organization isn’t SEBI-verified, then head to Meta’s guide on documents to upload for verification. 

2) The new system displays your SEBI registration number right on the ad. It also shows who’s paying for the advertisement. This information stays in Meta’s Ad Library for seven years.

3) Your competitors can see your compliance status. Regulators can track your advertising. Customers can verify your credentials. 

What Are the New Meta Ad Restrictions?

Here’s where things get painful for advertisers.

• Broader Targeting: You must target everyone aged 18-65+, regardless of gender.
• Location Change: Location targeting shifts from specific pin codes to a 24-km radius.
• No Lookalike Audiences: You cannot target prospects based on existing customer data.

The goal of these changes is to prevent discriminatory advertising practices. While this creates more inclusive advertising opportunities, it affects performance marketing precision.

For example, a mutual fund distributor’s ads will now reach both college students and working professionals. A stockbroker’s investment ads will show to conservative savers alongside active traders.

What Financial Services Companies Need to Do Right Now

If you’re running meta ads for financial services, you need a compliance framework immediately.

Step 1: Collect all your SEBI registration documents. Verify your RIA, IFA, PMS, or broker licenses are current. Set up beneficiary information in Meta Business Manager. To know the steps in detail, Meta has made guidelines on verification requirements. 

Step 2: Update your creative approval process. Every ad needs SEBI disclaimers. Every campaign needs broader targeting settings. Every piece of creative content needs a compliance review.

Step 3: Prepare for performance marketing changes. Cost per lead will likely increase initially. Lead quality might improve, but conversion cycles will be longer.

Did you know your D2C Meta ad budgets are probably wasted, not because of poor products but because of poor targeting? Read the best Meta Ads D2C campaign strategy of 2025 to learn more.

6 Performance Marketing Strategies for the New Meta Special Ad Category

Smart financial services companies are already adapting their performance marketing approach.

1. Micro-Moment Targeting

Focus on specific financial situations rather than demographics. 

Target “first-time home buyers” interest instead of “25-35 age group.” A home loan provider can increase conversion rates by 45% using this situational targeting.

2. Geographic Radius Optimization

Use the mandatory 24-km radius strategically. Place your location pin in areas that capture both urban professionals and suburban families. 

An insurance broker in Mumbai can position their radius to cover both Bandra and Andheri, reaching different income segments effectively.

3. Cross-Platform Audience Building

Don’t rely only on Meta ads because then it’ll be like putting all your eggs in one basket. 

Instead, do this: 

• Meta ads for awareness
• LinkedIn for professional targeting
• Google for high-intent keywords. 

And if you want to take things one step ahead, redirect LinkedIn leads to Meta retargeting campaigns. An investment advisory firm can reduce overall customer acquisition cost by 35% using this overall integrated approach.

4. Regional Language Localization

Create vernacular content for broader reach. Regional ads drive higher click-throughs and brand trust, especially in Tier-2, Tier-3 cities and rural markets, which form the fastest growing internet user segments. 

A mutual fund company’s Tamil educational videos in Chennai can generate 80% more engagement than English-only campaigns, despite broader targeting requirements.

5. Interest-Based Targeting

Layer multiple financial interests instead of demographics. 

Target “Investment Planning” + “Retirement Planning” + “Tax Planning” simultaneously. A mutual fund distributor can see 40% better lead quality using this method compared to age-based targeting.

6. Behavioural Retargeting Sequences

Create multi-step campaigns based on website behaviour. 

Target: 

• form abandoners with simplified lead magnets,
• calculator users with consultation offers,
• blog readers with educational content.

This approach could typically improve conversion rates by 50-70%.

Why SEBI Got Involved in Meta Advertising

• India’s financial advertising was getting messy. 
• Too many unregulated advisors were promising unrealistic returns. 
• Too many fake investment schemes were targeting innocent investors.

SEBI worked with Meta to create a verification system. The goal is simple: stop fraudulent financial advice and improve transparency.

The Facebook special ad category framework already existed for housing and employment ads. Now, financial services join this exclusive club of heavily regulated advertising categories.

Planning to use Meta Ads Manager to create and analyze your ads across Facebook, Instagram, and Whatsapp Messenger? Head to our guide to using Meta Ads Manager to learn the 7 ways to generate leads!

3 Ways This Creates Competitive Advantages

1. Reduced Competition: The SEBI verification process filters out unqualified competitors. Fake schemes can’t meet the requirements, giving legitimate businesses an edge.
2. Industry Standards: Customers will expect SEBI verification from all financial service providers. This makes registered businesses the obvious choice.
3. Credibility Boost: Displaying your SEBI credentials in your ads increases authority. It gives your marketing efforts a more credible edge, even with broader targeting.

Putting It All Together

So yes, the world of financial services advertising just got a bit more complicated. 

But challenge accepted. We’re here to simplify it. 

Brandshark is a top digital marketing agency in Bengaluru: we’ve got the expertise and creativity to make these new rules work for you. 

Time to level up! Drop us a line.