Can NRI invest in Mutual Funds in Zerodha?
- Asked By
- Updated On:28-Sep-2022
- Replies:1
Short Answer
Yes , NRI can invest in Mutual Funds in Zerodha by opening a non-PIS account. However, there are restrictions for NRI investors with PIS accounts, as well as investors based in the US and Canada; they are not permitted to invest in mutual funds in Zerodha.
Detailed Answer
Zerodha is a leading stock broker and offers online discount brokerage services to many investors. This popular stockbroker provides online trading services for stocks, commodities, bonds, and currencies.
In order to facilitate direct mutual fund investments, Zerodha recently unveiled a platform known as Zerodha Coin. With Zerodha Coin, you can purchase mutual funds online from asset management firms without paying commissions.
How to open a Zerodha Coin account ?
There is no separate process for opening an account for Zerodha Coin; if you already have a trading account with Zerodha, you are eligible to invest in mutual funds through that account as well. You can log into the Zerodha Coin platform using the same credentials.
Can NRI invest in Mutual Funds in Zerodha?
Yes , NRI can invest in Mutual Funds in Zerodha by opening a non-PIS (Portfolio investment scheme) account. However, NRIs with PIS accounts, as well as investors based in the US and Canada, cannot invest in mutual funds through Zerodha Coin.
There are no restrictions for NRIs investing through the NRO-non-PIS route. An NRI can invest in any fund or any asset management company (AMC) offered by Zerodha Coin.
How to open an NRI non-PIS account ?
NRI (Non-Resident Indian) trading accounts can only be opened offline; there is no option to open that in online mode.
To open an NRI Non-PIS trading account, you must submit the following documents via courier to the Zerodha head office.
- NRI account opening Form or contact a company representative for Demat Account opening who will guide you through the process.
- Declaration of your country of residence's post office box (Form).
- Declaration forms for the Foreign Exchange Management Act (FEMA) and the Foreign Account Tax Compliance Act (FATCA).
- NRI client details form.
- Copy of Passport and PAN Card
- ID proof along with a copy of the overseas address proof
Your information will be verified after you submit the documents, and your trading account will be opened within 24 to 48 hours. In addition, there is a Rs 500 account opening fee that will be deducted when you add money to your trading account.
NRI invest in Mutual Funds in Zerodha
There are no restrictions for NRIs investing through the NRO-non-PIS route. They can invest in all the mutual funds available with Zerodha Coin. Additionally, if you create an NRE account, you won't be able to trade in the futures and options segments.
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Discussion (0)
Yes, NRI can invest in Smallcase in Zerodha. They can invest using any NRI demat account they have with Zerodha, whether it is NRE PIS or NRO non-PIS.
Zerodha as well as Groww, both allow investors to invest in Mutual funds. Groww does not charge any Account opening fees or Annual maintenance Charges but Zerodha charges Rs 200 for Account opening and Rs 300 for AMC. This makes Groww a cheaper and better option when it comes to investing in mutual funds.
There are plenty of direct mutual funds investment platforms such as Groww, Coin by Zerodha, Kuvera, and others. However, choosing the best would entirely depend upon your requirement and preference.
Yes, any NRI can invest in mutual funds in India, if they follow some certain conditions under Foreign Exchange Management Act or FEMA Act 1999.
NRIs living in the United States can invest in Indian Mutual Funds, but there are some hassles that have to be overcome. You will require an NRE, NRO, or FCRN account in order to convert the foreign currency into Indian rupees, post which you can complete the KYC and begin investing in Indian Mutual Funds.
Zerodha Coin has been made completely free. The DP Charges of Rs.5.5 per mutual fund redemption that were used to be charged in the past have now been waived off. So, you don't have to pay any DP charges on mutual fund redemeptions.
Gold is a great investment that acts as a store of value and also as a hedge from inflation. Investing in SGB is the best way to invest in Gold. You can buy these Bonds from Zerodha easily by following some simple steps.
Zerodha is an Indian discount stock broker which provides various services to its customers. Zerodha is a paid platform with Rs 200 as account opening charges and their brokerage rates are different for each segment which are discussed in detail.
NFO in Zerodha is the abbreviation of "New Fund Offer". It refers to the introductory offer of a scheme by an AMC (Asset management company). An NFO is raised when a fund is launched and this will help the firm to raise capital for purchasing securities.
When talking about the best stock broker in India, we cannot rule out Zerodha. It is the market leader in bargain stockbroking, is premised in Bengaluru, and accounts for more than 15% of total retail trading activity in the country. Mr. Nitin Kamath formed the leading brokerage firm in 2010 Kamath, and it now has a customer base of over 6 million.