NRI Investment Services
NRE and NRO route investing for non-residents who want to stay invested in India.
What it is
Non-resident Indians can invest in Indian mutual funds on a repatriable or non-repatriable basis. The mechanics are straightforward once the account structure and paperwork are set up correctly.
The essential distinction is the source account. Investing from an NRE account keeps the money repatriable — you can take the proceeds back out of India. Investing from an NRO account is non-repatriable beyond the limits and conditions the RBI permits. Choosing the wrong one at the outset creates problems years later at redemption.
KYC for NRIs requires additional documentation — passport, visa or residence permit, overseas address proof, and in-person verification through the permitted routes. FATCA and CRS declarations are mandatory, and tax residency in another country must be declared honestly.
One practical point that surprises people: a few fund houses restrict or decline investments from residents of the United States and Canada, because of registration requirements in those jurisdictions. We will tell you which AMCs accept your application before you start the paperwork rather than after.
Who this suits
You are probably in the right place if…
- NRIs with income or assets in India they want to keep invested
- Non-residents intending eventually to return to India
- NRIs supporting parents or family in India and wanting the money to work meanwhile
- Anyone with existing Indian folios whose residential status has changed
Who this does not suit
We would rather say so up front.
- Anyone unable to complete NRI KYC and FATCA declarations
- Residents of jurisdictions where the chosen AMC does not accept applications
How it works
Four steps, in this order
Set up the accounts
NRE or NRO account with an Indian bank, depending on whether you need repatriability.
Complete NRI KYC
Passport, visa or residence permit, overseas address proof and in-person verification.
File FATCA / CRS
Declaration of tax residency, mandatory for every non-resident investor.
Invest and track
Applications routed through the chosen account, with statements accessible online.
What it costs
Charges, plainly
- Our charges
- None to you. Commission from the AMC as with resident investors.
- Bank charges
- Your bank may levy remittance and conversion charges. Those are between you and the bank.
- TDS
- Redemptions by non-residents are subject to tax deducted at source at prevailing rates.
What could go wrong
The risks, stated first
- Currency risk — returns in rupees can be eroded when converted back to your home currency.
- Tax may be payable in both India and your country of residence, subject to any applicable treaty.
- Some AMCs restrict applications from US and Canadian residents.
- Failing to update your residential status on existing folios can create compliance issues at redemption.
Mutual fund investments are subject to market risks. Read all scheme related documents carefully before investing.
Questions
What people ask us
Update your status with the AMCs and the KRA, and link the folio to an NRE or NRO account. Leaving it as resident is a compliance problem that surfaces awkwardly at redemption, and it is far easier to fix now than later.
If the investment was made from an NRE account on a repatriable basis, yes, subject to applicable tax. Investments made from an NRO account are subject to RBI limits and conditions on repatriation.
Not necessarily. In-person verification can be completed through video-based routes or attestation by permitted officials abroad, depending on the KRA and AMC. We will tell you which route applies before you book a flight.
Ready to put a strategy behind your money?
Sit with us for a free, no-obligation conversation about your goals — at our Indore office, or over a call at a time that suits you.
