As per the new rules, all equity advisors are also regulated by SEBI. They need a SEBI registration certificate before they can advise investors on what to buy and what to sell. Ask for their SEBI registration number and you can check on the SEBI website about the background of the advisor. SEBI also regulates investment advice closely and such advisors are required to disclose their personal positions in such stocks as well as the positions of their clients while giving advice. Ensure that all these SEBI requirements are adhered to.