united-states securities advice investment
Is it legal to sell stock market predictions online?
<p>Suppose that a developer has  built an AI which predicts the day's closing price given the stock's history and current open price, and has also built a website around it, on which such predictions are provided for a fee. Are there any legal issues that may arise from selling these predictions? Are there any steps a developer and site operator would need to take to make this business model legal?</p>
<p>I know that there is something about <a href="https://www.investopedia.com/articles/professionals/041013/becoming-registered-investment-advisor.asp" rel="nofollow noreferrer">becoming an RIA</a> (Registered Investment Advisor) or something for non-opinionated stock price sharing, but I am not clear if this is needed or would cover this situation.</p>

<p>Sharing information about stock prices in exchange for a fee for use by someone paying the fee requires some form of SEC licensure in the United States. Registered investment advisor licensure is one of the permissible licenses, but not the only one (for example a Series 7 license would usually be sufficient).</p>
<p>Simply sharing information about expected stock prices to the general public within an intent to profit from the specific advice given, if not part of a fraudulent scheme, is legal, however.</p>
<p>Certain licensed professionals can give such advice when it is incident to their licensed professional activities (e.g. lawyers).</p>
