NRI Investments FAQs

Generally yes. Once you update your KYC and residential status and route the investment through an NRE or NRO account, your SIPs can continue. We handle the redesignation so there is no break in your investing.

Yes. Your resident savings account and fund folios must be redesignated — typically converting the resident account to NRO and updating your KYC, residential status and FATCA details. Continuing to invest as a "resident" after your status changes is not compliant, so we take care of the change for you.

An NRE (Non-Resident External) account holds income you earn abroad and bring into India: both the principal and interest are freely repatriable and the interest is tax-free in India. An NRO (Non-Resident Ordinary) account is for income you earn within India — rent, dividends or a pension — where interest is taxable and repatriation is capped at USD 1 million per financial year. As a rule of thumb, use NRE money for fresh investments you may want to take back abroad, and NRO for investing India-sourced income.

Yes. After your KYC and status are updated and you invest through an NRE or NRO account, you can invest in most Indian mutual funds on a repatriable or non-repatriable basis. A few fund houses place extra conditions on investors based in the US and Canada — we tell you upfront which AMCs will accept your investment.

It is possible, but because of FATCA and CRS reporting rules only some Indian fund houses accept investors resident in the US and Canada, and they may require additional declarations or offline (physical) forms. We guide you to the AMCs that onboard US and Canada residents and handle the extra paperwork.

It depends on the account used. Investments made from an NRE account are fully repatriable, so sale proceeds can be moved abroad freely. From an NRO account, repatriation is allowed up to USD 1 million per financial year, subject to tax clearance (Forms 15CA/15CB). We plan your accounts so the money you may want overseas stays repatriable.

You can move funds from your NRE account to your NRO account freely, but not the other way round — transfers from NRO to NRE are not permitted. That is why the account you receive money into matters: NRE money stays fully repatriable, whereas money sitting in an NRO account is subject to the USD 1 million per year repatriation limit.

Unlike resident investors, NRIs have tax deducted at source (TDS) when they redeem mutual funds, at the applicable short-term or long-term capital-gains rate. If your country of residence has a Double Taxation Avoidance Agreement (DTAA) with India, you may be able to reduce this or claim credit or a refund when you file. We explain the treatment specific to where you live.

When you return and become a resident again, your NRE/NRO accounts and fund folios are redesignated to resident status and your KYC is updated accordingly. Your existing investments continue uninterrupted — you do not have to redeem them — and we update your plan for resident taxation.