Portfolio Investment Scheme for NRIs

 The Indian stock market offers many opportunities to invest in stocks and debentures and earn immense profits. Non-Resident Indians (NRIs) and Persons of Indian Origin (POIs) can also enjoy these perks through the Portfolio Investment Scheme. Under this scheme, NRIs can buy and sell shares and convertible debentures by Indian companies registered under a recognized stock exchange through their NRI bank accounts. RBI has come up with this scheme so that NRIs can easily invest in the Indian stock market and reap the benefits of the same.

For NRIs to buy and sell shares through a recognized stock exchange, they need to set up an account with a bank that has a global presence. SBM Bank India in association with India Infoline provides this service to NRIs. An NRI can invest either on a repatriation basis or on a non-repatriation basis. An NRI requires an NRE Savings Account (Non-Resident External) for foreign inward remittances through an overseas account for investments on a repatriation basis. For investments on a non-repatriation basis, NRIs require an NRO Savings Account (Non-Resident Ordinary) for remittances from overseas accounts or local sources.



SBM Bank India offers an NRE Portfolio Investment Scheme (PIS) Account with which you can buy and sell shares and debentures of Indian companies on a recognized stock exchange on a repatriable basis.

Here are the many benefits of the Portfolio Investment Scheme (PIS) that NRIs can enjoy.

Invest in the Indian stock market from any part of the world

With the Portfolio Investment Scheme introduced by the RBI, NRIs can buy, sell stocks and debentures registered on the Indian stock exchange no matter where they reside in the world. This allows NRIs to multiply their money by investing in the stocks of their choice, without really being physically present in India.

 Buy, Sell, Repatriate at just a click

Many banks in India who have been permitted by RBI to handle secondary market transactions for NRIs/PIOs/OCIs offer the Portfolio Investment Scheme. Not only SBM Bank India offers this scheme but they have also simplified the process of handling your funds through their NRE Portfolio Investment Scheme Account. You can manage your shares from anywhere in the world with just a click. 

Award-winning research and support team

SBM Bank India has a dedicated research and support team that is always there for their customers every step of the way. They help their customers make the choices that best suit their financial portfolio and guide them through the process of investing and more.

The bank also offers a 3-in-1 account with competitive pricing and competitive brokerage and value-added subscription plans.

Here are a few things to remember when you open a PIS account:

Credits permitted for NRE PIS Account

-   Inward remittances from abroad in foreign exchange through banking channels

-   Transfer from the NRI’s/OCI’s other NRE accounts or FCNR (B) accounts maintained in accordance with the Foreign Exchange Management (Deposit) Regulations, 2016

-   Sale proceeds (net of taxes) of capital instruments acquired on repatriation basis in accordance with instructions contained in this annex and sold on a stock exchange; and

-   Dividend or income earned on investment made on repatriation basis in accordance with instructions contained in this annex

 

Debits permitted for NRE PIS Account

-   Outward remittances of dividend or income earned on investment made on repatriation basis in accordance with instructions contained in this annex;

-   Amounts paid on account of purchase of capital instruments on repatriation basis on stock exchanges in accordance with instructions contained in this annex;

-   Any charges on account of sale/purchase of capital instruments in accordance with instructions contained in this annex; and

-   Remittances outside India or transfer to NRE/FCNR (B) accounts of the NRI/OCI or any other person eligible to maintain such accounts in accordance with the Foreign Exchange Management (Deposit) Regulations, 2016.

The Portfolio Investment Scheme (PIS) is very lucrative for NRIs who wish to invest in the Indian stock market, and SBM Bank India provides everything that an NRI would need to help make that happen. With a dedicated research and support team, simplified processes, and more, NRIs can easily manage and multiply their funds using this Portfolio Investment Scheme.

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