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SGSSL NRI SERVICES

SGSSL NRI SERVICES. Who is an NRI/PIO?. Non- Resident Indian [NRI] means a ‘person resident outside India’ who is a citizen of India by virtue of constitution of INDIA. ‘Person of Indian Origin’ (PIO) means a citizen of any country other than Bangladesh or Pakistan, if

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SGSSL NRI SERVICES

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  1. SGSSLNRI SERVICES

  2. Who is an NRI/PIO? • Non- Resident Indian [NRI] means a ‘person resident outside India’ who is a citizen of India by virtue of constitution of INDIA. • ‘Person of Indian Origin’ (PIO) means a citizen of any country other than Bangladesh or Pakistan, if • A. he at any time held Indian passport; or • B. he or either of his parents or any of his grandparents was a citizen of India by virtue of the Constitution of India or the Citizenship Act, 1955; or • C. the person is a spouse of an Indian citizen or a person referred to in sub-clause [A] or [B].

  3. NRI FACTS • Indian Diaspora is largest in globalized world --- More than 20 million Persons of Indian Origin and some 6 million Non resident Indians are spread over 136 countries • NRIs are heading home to enjoy the fruits of a booming economy --- RoI in India is way greater than RoI in developed countries • NRIs remitted over $47 billion back home in 2007

  4. What is the process for NRI to invest in Indian Capital Markets? • Open a bank account with a designated bank branch, which is approved by RBI (Reserve Bank of India). • Apply for a general approval for investment in Indian Stock Market through this designated bank branch(P.I.S. Account). • Open a demat account with a depository participant to act as registered holder of securities. • Open account with registered Broking Firm to execute transactions.

  5. Documents required to open an NRI Trading and Demat account Passport copy. • P.I.S. Permission letter. • Foreign address proof. • Local address proof. • Pan card copy. • NRE/NRO cheque. • NRE/NRO statement. • 3 Passport Size photograph. • Completely Filled Application Form.

  6. Process flow for Equity Trading Client opens a NRE / NRO bank account & flags it as PIS account Client submits KYC documentation along with the Bank PIS approval letter NRI Client ZR client code generated

  7. Marketing • In Person verification of the Client is a must when submitting his application in India • For clients filling KYC forms abroad, all documents need to be attested by the Indian embassy / consulate general present in the client’s country of residence • Only delivery based transactions allowed • Brokerage rate –– depend on Volume/Turnover • All other account opening charges as per KYC norms • Compulsory Demat a/c in SGSSL alongwith an active POA • PIS a/c with designated bank – ICICI, HDFC, & AXIS

  8. Only for opening of NRI, NRO & PIS account Compulsory Open Demat & Trading a/c with SGSSL

  9. Only for opening of NRI, NRO & PIS account Compulsory Open Demat & Trading a/c with SGSSL

  10. Only for opening of NRI, NRO & PIS account Compulsory Open Demat & Trading a/c with SGSSL

  11. KYC - NRI (Trading) Account • Pan card copy - NRI • Foreign address Proof • Local Address Proof • Bank proof (NRE or NRO Bank account) • PIS [Portfolio Investment Scheme] approval letter • Cheque towards a/c opening charges (margin not to be collected) • For proof of residence – passport copy • Photograph of the client(colour, passport size) • Copy of power of authority (POA) issued in favor of person who will act on behalf of NRI along with proof of identity of POA holder (if applicable)

  12. KYC – NRI Demat A/C • Pan card copy - NRI • Foreign address Proof • Local Address Proof • Bank proof (NRE or NRO Bank account) • Cheque towards a/c opening charges • Photograph of the client( colour, passport size) • Copy of power of authority (POA) issued in favor of person who will act on behalf of NRI along with proof of identity of POA holder(if applicable) • Local address for communication • Must have separate client code for Repatriable a/c and Non Repatriable a/c.

  13. Compliance requirements • NRE / NRO bank a/c in India • Designate / Flag the bank a/c  as PIS [The concerned bank will issue the RBI approval letter with the status] • KYC forms need to be accepted for NRI / PIO clients only with the PIS approval letter. {Trading and Demat a/c cannot be opened for NRI’s without the PIS letter} • KYC tags NRI client codes with a pre – determined ZR series • On successful completion of all the account opening formalities the client will be allocated a ZR series client code • Compulsory Demat a/c with SGSSL with an active POA status

  14. Trading Norms • Only Cash market delivery based transactions allowed for NRI / PIO clients • Intraday / Derivatives / Commodities Not allowed • Compulsory Transfer of holdings to the Demat a/c on every purchase and selling allowed only from the Demat a/c • Scrip Transactions need to be settled before they are allowed to be squared – off. No open / Pending settlement will be allowed to be squared off. E.g. if a client has bought on T – day he will be allowed to sell only on T+3 day after the holdings have been transferred to the Demat a/c • No initial margin needs to be collected from the NRI client. Only account opening charges to be collected from the client

  15. Operations • Different Contract notes will be generated for Different Trading Transactions for every trading session. E.g. All BUY transactions in a trading session will be clubbed in the same contract note and all sell transactions in the same trading session will be clubbed in another contract note • Payments will be collected from & credited to the PIS bank account on a bill to bill basis • Though there will be separate CN’s generated, Banking – RM ledgers will be settled as per the Net obligation on the client account • For effective and speedy ops – client will have to authorize his bank account to make payments and receive payments for trades done through SGSSL

  16. SGSSL NRI Services • NRI service desk for Personalized assistance to NRI / PIO clients • Dedicated Offline Equity Dealing desk • Online Equity Trading Platforms • Depository Services • NRI Investment Advisory desk • 24 x 7 Online Services • Portfolio Investment Services • IPO & Mutual Fund Advisory Services • Online Mutual Funds • Support for Banking – PIS accounts • Pan Card assistance

  17. RBI Banned Scrip • As per RBI Guidelines, NRI investments in equity shares should not exceed 5% of the paid up equity capital of the company. NRI client should verify from RBI Website using the following link http://www.rbi.org.in/scripts/BS_FiiUser.aspx before buying of any equity shares / debentures. • In case the purchase of shares / debentures in a company exceeds the prescribed limits the customer would be instructed to sell the said shares / debentures immediately on the same day or on the next working day in case the market is closed for the day.

  18. SGSSL NRI HELPDESK NRI service desk - Tel. No. 0261 –2450773,2454647,2601297 • Email address – • sgssl_ac@rediffmail.com yacoobali_venture@hotmail.com

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