Easier account opening and lower brokerage for NRI clients

The Securities and Exchange Board of India (SEBI) has released new guidelines that make it easier for Non-Resident Indians (NRIs) to trade derivatives in Indian markets. These new guidelines remove barriers that made it hard for NRIs to participate in India’s capital markets.

The existing processes to open an NRI account and trade are extremely complex, which makes it hard for NRIs to trade or invest compared to resident investors. Currently, overall NRI AUM at Zerodha is at ₹12.8k crores, averaging ₹44 lakh. However, this amount could probably be much higher if the account opening and operation of trading accounts from abroad were simplified and not complicated.

The latest SEBI circular removes the complication of the mandatory CP code requirement. Previously, NRIs wanting to trade derivatives had to notify exchanges about their clearing members and get a unique Custodial Participant (CP) code. This meant extra paperwork, cost, and delays.

Lower brokerage rates for NRI accounts

These improvements allow us to reduce brokerage. Brokerage for NRI Non-PIS accounts will be reduced from ₹100 or 0.5% to ₹50 or 0.5%, whichever is lower, with effect from 1st September 2025. Zerodha is also planning to allow NRO (Non-PIS) clients to trade intraday equity, and this reduced brokerage will apply to the intraday equity segment as well. Existing NRI clients can opt out of CP codes by 27th October 2025. Please note that NRE PIS charges remain unchanged.

Easier account opening process

We have simplified the account opening process for NRIs by introducing an online flow. Please visit zerodha.com/open-account/nri/ and follow the simple on-screen instructions to open your Zerodha account. NRIs can now digitally sign documents using Aadhaar when visiting India. This limitation is due to the regulatory norms around e-signing. If you are outside India, complete the process online, generate preapproved application forms, and courier them to us.

What this means for NRI clients

For existing NRI clients using CP codes: Once the exchange migration process is available within 30 days, you can switch from the CP code process to the non-CP code method. A migration option will be provided specifically for those who have already opted for CP code trading.

For existing NRI clients without CP codes: If you do not have a CP code but want to trade in futures and options, you can simply activate F&O segments on Console when the regulations take effect. You can start trading in EQ & FO by simply transferring funds to your Zerodha account without going through the CP code process.

For new NRI clients: The simplified online account opening process is now live, and you can trade in multiple segments, making it much easier to invest in Indian markets. Once the regulations take effect, new NRI traders will not need to go through any CP code process at all.