Some simple procedures for NRIs to invest in Indian Stock Market
Posted on: 18/Aug/2017 12:38:34 PM
There are some procedures to follow for the NRIs (Non-Resident Indians) to invest in Indian Stock Market.
Though NRIs are being given several concessions to invest in India, it is better to know more about how NRIs can invest in Indian Stock Market.
If an NRI is interested in investing in Indian Stock Market, he/she has to open an NRI Bank Account in India. An application to appoint a Power of Attorney has to be submitted. The client of the person given the Power of attorney has to submit all necessary documents and specimen signature.
The person with the Power of Attorney has to sign in the application form. Once the rights to operate the NRI account is given to the PoA (Power of Attorney), NRI has to obtain the cheque books, Cheque distribution, usage of ATMs, and depositing money in the NRI account.
Authority can be given to another person to manage the NRI accounts. This person can operate the NRI account,
The person to be given the authority to operate the NRI account has to submit the required Stamp Papers. He/she has to mention why he/she has been given this authority.
The person with authority can make the investment in Indian Stock Market with the NRI account. In fact, all necessary documentation procedure can be done by this authority.
Instead of appointing an authority, the NRI can also use the Net Banking facility for investments in the Indian Stock Market. There are several broker agencies offering this internet service of trading account in the market.
NRI account holders have to fix the maximum limit for investment. When investing, the necessary document of the person with the authority has to be submitted. The only major snag for the NRIs to operate this account is the difference in time between the country of residence and India.
