Comment on NRI trading on Indian Stock Exchanges

Rohit commented on 11 Aug 2015, 04:57 AM

Hi Nithin,

This is great help that you are replying to these questions. There seems to be a lot of confusion and restrictions around things and it really helps if someone can clarify. So, thanks for doing this.

I have the same question to which you just replied and I also asked before and since there are so many documents and forms involved in completing the formality I want to make sure that the information is correct and there are no surprises at a later stage.

I have also heard that due to some US SEC rules the US based NRI
1. Can’t open a trading/demat account remotely. They need to be in India to do so, and
2. There are restrictions on online trading i.e. to execute a trade you need to call a broker/fax or mail.

Here is a link which talks about this
http://articles.economictimes.indiatimes.com/2011-08-16/news/29892483_1_foreign-brokers-demat-trading-accounts

Could you please confirm if a US based NRI can open an account just by mailing the documents and if he/she can do online trading as well.

Thanks again for your help.
Rohit

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