Common Misconceptions About Share Market Advisory Services (And the Truth Behind Them)

In recent years, share market advisory services have gained a lot of attention—both positive and negative. While many investors rely on them for smart and consistent guidance, there’s also a fair amount of confusion and misinformation surrounding what these services actually offer.

From rumors about guaranteed returns to myths about insider information, there’s a lot of noise out there that needs to be addressed.

In this blog, we’ll debunk the most common misconceptions about share market advisory services and uncover the truth behind them. Whether you’re considering signing up with an advisor or simply curious about how they work, this article will give you clarity.

Misconception #1: Advisors Promise Guaranteed Profits

The Reality:

No one—not even the most experienced trader or advisor—can guarantee profits in the stock market. It is a dynamic environment influenced by countless factors, including news, sentiment, global events, and unexpected volatility.

Advisory services focus on probability, not certainty. A reliable advisor will offer strategies with favorable risk-reward ratios, but they will also clearly communicate that losses are part of the process.

Truth: If someone claims they can give you “100% accurate calls,” it’s a red flag. A legitimate advisor will always discuss both potential gains and risks.

Misconception #2: All Advisory Services Are the Same

The Reality:

Just like in any industry, the quality and approach of advisory firms vary widely. Some offer generic tips without any context. Others provide detailed research reports, custom strategies, and educational support.

Services may specialize in:

• Intraday or swing trading

• Long-term investing

• Options and futures

• Sectoral investing

• Technical or fundamental analysis

Truth: Choosing the right advisory depends on your goals, risk tolerance, and preferred investment style. Not all advisors fit all investors.

Misconception #3: Advisory Services Are Only for Beginners

The Reality:

While beginners certainly benefit from expert guidance, many experienced traders and investors also use advisory services for:

• Second opinions on stock picks

• Diversifying strategies

• Managing emotions and discipline

• Staying updated with market trends

Even professionals understand that no one can watch every sector or stock alone.

Truth: Advisory services are for anyone who wants a more structured and informed approach to investing—regardless of experience level.

Misconception #4: They Have Insider Information

The Reality:

This is a dangerous assumption. It’s illegal for anyone—advisors included—to act on insider information. SEBI (India’s securities regulator) has strict laws against insider trading.

What advisors do use are:

• Publicly available financial data

• Technical indicators

• Global and domestic news analysis

• Historical patterns and price behavior

Truth: Trusted advisors work within legal boundaries, relying on research and expertise—not secret information.

Misconception #5: They Only Give Buy and Sell Calls

The Reality:

Yes, recommendations are a key part of what many advisors do—but that’s not all.

Comprehensive share market advisory services often provide:

• Risk management guidelines

• Portfolio allocation suggestions

• Sectoral rotation ideas

• Regular market insights and reports

• Educational sessions and Q&A support

Truth: The best advisors aim to build long-term investor success, not just send daily tips.

Misconception #6: Advisory Services Are Too Expensive

The Reality:

While there are premium advisory services with higher fees, many are surprisingly affordable—especially when compared to the potential losses of trading without guidance.

You can find:

• Monthly plans starting as low as ₹1,000–₹2,000

• Custom packages for different risk profiles

• Trial options to test before committing

Truth: A good advisory service can save you from making costly mistakes, which far outweigh the subscription cost.

Misconception #7: One Good Advisory Is Enough Forever

The Reality:

The market evolves—and so should your strategy and your advisory team. What worked a year ago might not work today due to changes in volatility, liquidity, and economic conditions.

It’s also possible that your financial goals may shift over time. That’s why you should:

• Regularly evaluate your advisor’s performance

• Stay open to learning and adapting

• Make sure the advisor is still aligned with your investment goals

Truth: It’s okay to upgrade or change services if your needs evolve.

Misconception #8: More Calls Means Better Service

The Reality:

Quantity doesn’t mean quality. Some traders feel that getting 15–20 tips a day means they’re getting value for money. But in reality, it leads to overtrading, confusion, and higher brokerage fees.

A good advisor will:

• Filter high-quality opportunities

• Focus on precision over volume

• Encourage thoughtful trade execution

Truth: Fewer, well-researched calls often perform better than a flood of noisy tips.

Misconception #9: Advisory Services Take Over Your Money

The Reality:

There’s a big difference between an advisory service and a portfolio manager. Advisors do not take custody of your funds. They recommend trades—you execute them through your broker.

You remain in complete control of:

• Your capital

• Your brokerage account

• When and how to take action

Truth: Advisors offer advice—not access to your trading account.

Final Thoughts

Share market advisory services can be incredibly valuable—if you understand what to expect and how to use them effectively. While there are many myths and misconceptions, the truth is that a transparent, SEBI-registered advisor can help you:

• Save time

• Avoid emotional decisions

• Grow your capital systematically

But like any service, it’s important to do your research, ask questions, and choose advisors who focus on building a long-term relationship—not just selling tips.

Invest wisely, stay informed, and always remember: good advice is worth much more than a lucky guess.