[Note Exclusive Article] Points to Note When Sharing Investment Information on Note

Note is a convenient platform that allows anyone to easily share investment information. It is characterized by a high degree of freedom in expression and monetization, offering not only text posts but also audio and video content, paid article sales, subscription features, and tipping (support) functions.

However, did you know that when using these features to share investment information, it may fall under the category of "investment advisory and agency business" depending on the content and format? Compared to general blogs or social media, you must be aware that the environment on Note makes it easier to receive compensation, which increases the risk of violating the Financial Instruments and Exchange Act.

In this article, for individuals or corporations sharing investment information on Note, we will explain the points that require special attention in relation to investment advisory and agency business.

At the end of this article, we have provided a checklist to help you confirm whether your activities might fall under investment advisory and agency business, so please make use of it.

■ Cases where it is highly unlikely to violate investment advisory and agency business regulations

First, if the following conditions are met, it is considered highly unlikely that providing investment information on Note would fall under investment advisory and agency business.

The first is that "the article is completely free." The second is that "it is published in a state where anyone can access it freely without member registration."

If shared in this manner, it is generally judged that there is no "consideration," so it tends to be excluded from regulation. However, if the content of the article encourages specific investment decisions, it may still be viewed as problematic regardless of the format, so continued caution is required.

■ Cases where it is highly likely to fall under investment advisory and agency business

On the other hand, in the following cases, the possibility of falling under investment advisory and agency business increases.

• When sharing investment information as a paid article

• When member registration or payment is required to view the article

• When providing advice on individual stocks while receiving financial compensation through the tipping feature

In such cases, it is evaluated as "providing advice on investment decisions regarding specific securities in exchange for compensation," and continuing these activities without registration may result in a violation of the Financial Instruments and Exchange Act.

For example, the following actions are considered typical patterns of violation.

• Advising that "this stock is a buy" or "you should sell at this timing" in a paid Note

• Indicating investment decisions in response to reader inquiries after receiving a tip

• Continuously recommending specific stocks in paid magazines or online salons

All of these are actions that are highly likely to be legally problematic in that they involve "providing specific advice on specific stocks in exchange for compensation."

■ Points easily misunderstood and perspectives to keep in mind

When sharing investment information on note, the following misunderstandings are often seen. However, it is important to be careful, as none of these are likely to hold up legally.

First, even if you explicitly state that "this is merely a personal opinion" or "please proceed at your own risk," it is difficult to avoid being considered investment advice based on that wording alone. If it is expected that the reader who receives the information will use it as a reference for actual investment decisions, it may be evaluated as an "advisory act."

Furthermore, business models such as "using free articles as an entry point and providing actual stock analysis in a paid salon" may be judged as providing advice for compensation in substance, even if they are free in form. What is important is the **"substance," not the "appearance."**

■ Countermeasures to Avoid Violations

If you wish to continuously share investment information on note, you can reduce legal risks by incorporating the following approaches:

• In paid articles, avoid recommending individual stocks and limit content to general topics such as investment education, explanation of systems, and outlooks on the market as a whole.

• Even when mentioning stocks, keep the format free to access, aimed at the general public, and without compensation.

• If you receive tips (donations), avoid advisory interactions and limit them to formats intended for gratitude or support.

• Limit content to "signposts" that allow readers to make their own judgments, such as investment philosophies or basic risk management methods.

■ Summary

note is an attractive tool that allows for both information dissemination and monetization, but on the other hand, it also carries the risk that the boundary between investment advice and agency business is easily blurred.

In particular, in cases where features such as paid articles, tips, and membership content are combined with "recommendations for individual stocks," operating without registration is extremely dangerous.

As a sender of investment information, always maintaining the perspective of "Could this be considered advice?" or "Could this be recognized as having a compensatory nature?" will lead to protecting your own business and your readers.

Please also actively consider consulting with a professional knowledgeable in financial law as needed.

📘 Related note Articles

In addition to note, for those who share investment information on websites or blogs, the following article is also recommended.

▶ "Legal Points to Know Before Sharing Investment Information on Websites or Blogs"
When sharing information related to investments on the Web, there is a risk that you may unknowingly fall under the category of "Investment Advisory and Agency Business." In this article, we explain what kind of dissemination is considered legal and what kind of actions require business registration in an easy-to-understand manner from a practical perspective. It also touches on questions such as "In what cases is registration necessary?" and "How can I make this work as a business?," providing content that will serve as an opportunity to rethink how you share information in the future.

Please take a look at it as well.
👉 Legal Points to Know Before Sharing Investment Information on Websites or Blogs

✍ Operator Profile

Financial law consultant. As a former administrative scrivener, I have a proven track record of supporting IFA registration and investment advisory and agency business registration.
Currently, I am sharing information for practitioners interested in the financial business through my blog and note.

■ Checklist to determine if your activities might constitute an investment advisory or agency business

When sharing investment information on note, please refer to the following checkpoints to determine if your activities might fall under the category of "investment advisory or agency business" as defined by the Financial Instruments and Exchange Act. The more items that apply to you, the higher the risk of violating industry regulations.

□ Check regarding the format of information provision

• Is the information provided for "free"?

• Is membership registration or payment required to view the article?

• Are you using note's tipping or subscription features?

□ Check regarding the content of the information

• Do you provide "recommendations" or "judgments" on buying or selling specific stocks or financial products?

• Do you use expressions that assist in investment decisions, such as "stocks you should buy" or "when to sell"?

• Even if presented as "personal impressions" or "personal experiences," is the content specific enough for readers to use in actual trading?

□ Check regarding the relationship with readers

• Do you receive questions from readers and provide individual advice on specific stocks in response?

• Do you exchange investment information "continuously" via comment sections, DMs, or online salons?

• Is the structure such that readers might "misunderstand" that they are receiving your advice for a fee?

□ Check regarding connections to other businesses

• Are you effectively providing investment advice by directing users from note to other websites or paid salons?

• Are you using note as a customer acquisition medium for investment schools or analysis reports?

• Even if no monetary compensation is involved, are you posting advisory content for the purpose of building brand value or locking in customers?

※ If you feel that even one item "might apply," we recommend re-verifying the possibility of falling under the investment advisory or agency business category. Even if there seem to be no formal issues, there are many cases that are
substantively considered as providing information that assists in investment decisions in exchange for compensation.

Consulting with experts or reviewing your information provision style to comply with legal regulations as needed will help prevent future trouble.