Can NRI invest in equity in India?

Direct Equity NRIs can invest in the Indian stock market directly under the Portfolio Investment Scheme (PINS) of RBI. NRIs are mandated to have an NRE/NRO bank account, a Demat account, and a trading account to invest in the Indian stock market.

Can non residents buy stocks in India?

You need to open an NRE (Non-Resident External) account with a RBI-registered bank to invest in stock markets. You can have a single PIS account for investment in stock markets. What are some important facts that NRI investors need to know?

Can NRI invest in direct equity?

Direct Equity Investment An NRI investor can invest in the Indian stock through the Portfolio Investment Scheme (PIS). For this, the NRI must have an NRE or NRO bank account and Demat and trading account to deal in the equity market in India.

Can NRI do option trading in India?

Yes, NRIs can trade in futures and options (but not in the currency segment) if they have mapped a Custodial participant code (CP) to their NRO account. They will not be allowed to trade on the equity segment using the same account. Note: The brokerage charges for futures and options are Rs 100 per order.

Can an NRI invest in Indian mutual funds?

Can NRIs invest in mutual funds in India. NRIs are allowed to invest in mutual funds in India – as long as they adhere to the rules of the Foreign Exchange Management Act (FEMA).

Can NRI invest in capital gain bonds in India?

Public Sector Units and Capital Bonds NRIs can claim deductions by investing in Capital Gain Bonds issued by REC and NHAI under Section 54 EC. These bonds have a 3 year lock-in period.

Can NRI invest in F&O in India?

Yes, NRIs can trade in futures and options (but not in the currency segment) if they have mapped a Custodial participant code (CP) to their NRO account. The brokerage charges for futures and options are Rs 100 per order. The NRI client cannot pledge their holdings while trading to obtain margins.