We understand that as an NRI you look to invest differently. We are equipped to help you with all your financial needs. InvestoRight can help NRIs explore and invest in several investment avenues available in the Indian Markets. best of which are:
- Mutual Funds
- National Pension Scheme (NPS)
- Bonds and Government Securities
- Certificate of Deposits
As per Foreign Exchange Management Act, an Indian citizen is termed as a Non-Resident Indian (NRI), if one has either stayed in India for 183 days or less in the last financial year.
- Mutual Funds
Mutual funds are one of the most flexible investment options for NRIs. Regardless of one’s investment plan, there is a mutual fund to match the goal requirements. NRIs can invest in mutual funds only using Indian currency and require an NRE or an NRO account to invest in mutual funds. There are no limitations for NRIs investing in mutual funds. Due to FATCA rules limits, the Canadian and US NRIs to invest in mutual funds only through 8 AMCs which are:
- SBI Mutual Fund
- Birla Sun Life Mutual Fund
- ICICI Prudential Mutual Fund
- UTI Mutual Fund
- L&T Mutual Fund
- PPFAS Mutual Fund
- Sundaram Mutual Fund
- DHFL Pramerica Mutual Fund
Invest in Mutual Funds through your NRE / NRO NON PIS accounts.
Mutual Fund SIP
Invest systematically (monthly, quarterly, half-yearly or yearly) in mutual fund scheme of your choice.
Benefits of SIP
- Disciplined approach to investments
- Flexibility to invest small amounts every month
- Convenient and hassle-free mode of investment
NRI investment in Equity is another optionto consider. The Portfolio Investment Scheme (PIS) of RBI enables NRIs to invest in the Indian stock market. Under PIS, NRIs require to get a one-time approval to participate in the Indian stock market. In addition to a demat account to hold shares, NRIs also require a trading account with a stock broking firm and an NRE account or NRO account with a bank.
|PRODUCTS||TRADING ACCOUNTS||BANK ACCOUNTS||DEMAT ACCOUNT|
|EQUITY||NRE PIS||NRE SB & NRE PIS||NRE DEMAT|
|NRE PIS||NRE SB & NRE PIS||NRE DEMAT|
|MF||NRE NON PIS||NRE SB||NRE DEMAT|
|NRE NON PIS||NRE SB||NRE DEMAT|
|IPO||THROUGH ASBA||THROUGH ASBA||NRE OR NRO DEMAT|
|FUTURES & OPTIONS||NRO NON PIS||NRO SB||NRO DEMAT|
Along with equity, NRIs can also invest in the Future and Options (F&O) segment of the exchange. In order to participate in the F&O segment, NRIs are required to approach a clearing member who can clear the trades for allotment. Clearing corporation allots unique custodial participant (CP) code to all NRI investors based on the application received from the clearing member. NRIs can trade Derivatives viz. F&O trading through intraday trading, short position, Index trading and leverage.
- You can also get expert opinions and in-depth analysis of the options market with research reports
- You can keep track of your scrips with Market Watch
- You can place your trades from the Options Chain or from research call
- Last but not the least you can check turnover reports to view open positions and profits booked on close positions
The ProPrime—Diversified Equity PMS strategy is for you if you plan on investing for a long term to create an equity portfolio through disciplined investments that will lead to a growth in the portfolio’s value with medium to high risk.
- Disciplined investment decisions are taken in specific stocks based on thorough fundamental research
- Investments are made primarily in the Nifty Fifty or the BSE 100 scrips
- Attempts to have an exposure of minimum of 70% in the Nifty Fifty stocks and that of minimum of 90% in the BSE 100 stocks
- Endeavours to create a core portfolio of blue-chip companies with a proven track record and have partial exposure to quality companies in the mid-cap space
- Minimum Investment Amount: Rs 25 Lac
Insurance has been one the most preferred mode of investments for Indians. NRIs can invest and buy insurances in India. With evolving time, several insurances are designed especially for NRIs. These insurances cover death, disability, disease and also offer lumpsum benefits. Different mode of premium payment for insurance is available for NRIs. One can opt for direct remittance through banking channels, remittances through postal channels, etc
6. National Pension Scheme
National Pension Scheme is a retirement savings scheme of the Indian Government and a good investment alternative. Under this scheme, investors are allotted unique Permanent Retirement Account Number. It is a cost-effective and tax-efficient scheme with flexibility in investment amount and regularity. It also offers the option to choose from fixed income options, government securities or equity-related investments. NPS offers good returns on investment and a regular income along with a corpus for retirement. NRIs who hold Indian Citizenship and are between 18 to 60 years of age can invest in NPS through NRE/NRO account.
7. Bonds and Government Securities
When governments and other companies require funds for their projects or expansion, bonds are issued. Investing in bonds makes the investors a lender and provides a slice of ownership in the company. Investors are also entitled to receive fixed returns on their investment. NRIs can freely invest in Bonds and government securities through NRE and NRO accounts. However, repatriation benefits are applicable for NRE accounts which have completed 3 yrs, while benefits of maturity credited to the NRO account cannot be repatriated.
8. Certificate of Deposit / Fixed Deposits
Certificate of Deposit (CD) is money market instruments issued either in demat form or promissory notes by banks and financial institutions. These are like fixed deposits but have higher liquidity and can easily transferable. The certificates are generally issued at a discount rate and have effectively higher returns as compared to other bank investments. NRIs can invest in Certificate of Deposits through NRE accounts on a repatriable basis.