An NRI, PIO & a seafarer can open a 3in1 Account (Availability subject to jurisdictions permitting Investment in & Trading of Indian Securities on Indian Stock Exchanges).

An Indian citizen leaves India for the purpose of employment, business, education, stay with parents/ children, with the intention of staying abroad for an uncertain period. In such cases, he becomes a NRI the moment he leaves India, even if he has not stayed abroad for 182 days or more during the financial year.

A citizen of any country other than Bangladesh or Pakistan who had (a)At any time held Indian passport or (b)He or either of his parents or any of his grand-parents 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 (a) or (b)

 Yes , USA & Canada based NRIs and PIOs can open the Trading account with us provided customer is present in India at the time of account opening.

NRE/NRO Regular Savings Account with any branch in India. 
NRE/NRO PIS Savings Account with designated Branch. 
NRE/NRO PIS permission through HDFC Bank. 
NRE/NRO Demat Account with HDFC Bank. 
NRI Trading Account with HSL.

NRE account is required.

NRO account is required.

NRIs can invest in the Indian stock market only though the Portfolio Investment Scheme (PIS) All secondary market transactions have to be reported to RBI within 24 hours Investments can be made on repatriable as well as on non-repatriable basis Different bank and demat accounts need to be maintained for repatriable and non repatriable investments As per Income Tax Act, tax (if applicable) has to be deducted at source on the profit made by NRIs. NRIs have to do delivery based trading only

The designated banks report all secondary market transactions to RBI on a daily basis Investment by single investor should not exceed 5% of total paid-up equity and preference capital of the company The overall ceiling for all NRIs put together is 10% of share capital. However, the company can enhance this limit to 24% by a special resolution Companies whose limit has reached 0.5% below threshold is put into Caution List. Fresh permission is required for dealing in these shares Once the limit is completed, the shares are put in Watch List and cannot be traded

One time Trading Account opening Fees of Rs 2,500. One time PIS approval issuance Fee Rs 1,000. The brokerage is 0.75% of the Transaction value subject to a minimum of Rs.25.00 per order, subject to a ceiling of 2.5% of the total traded value plus and other taxes / statutory charges levied by Government bodies / statutory authorities from time to time, which will be charged as applicable, Securities Transaction Tax of 0.1% on transaction value, Stamp duty is 0.01% on transaction value, and Sebi Turnover Tax is 0.0001%.Further the Brokerage for scrips less than Rs.10 per share is Rs.0.05 per unit .Brokerage will be charged within the limits prescribed by SEBI / Exchanges. (Both Buy & Sell) & any other statutory levies as prescribed by the government from time to time.

Yes. A power of attorney holder can manage portfolio on behalf of NRIs. However, he cannot effect remittance outside India. With internet trading, life of NRIs has become easy for portfolio investments. 

Yes. NRIs can borrow against shares or other securities. However, the loan should be utilized for meeting the borrower's personal requirements or for his own business purposes. 

In NRE PIS PERMISSION ... All holder should be NRIs

In case of NRO PIS PERMISSION, ..... NRO PIS a/c jointly with resident holder only on former or survivor basis.. 


NRE a/c (Non-Resident External a/c)

NRO (Non-Resident Ordinary Rupee a/c)

Who can open an account


Any person resident outside India

Joint account of two or more NRIs



Joint account with another person resident in India

Not Permitted


Currency in which account denominated

Indian Rupees

Indian Rupees

Repatriability: Principal

Freely repatriable

Not repatriable


Freely repatriable

Freely repatriable

Foreign Currency Risk

Account holder is exposed the fluctuations in the value of INR

Account holder is exposed the fluctuations in the value of INR to the extent of interest amount

Types of account

Current, Saving, Fixed deposits

Current, Saving, Fixed deposits

Period of fixed deposits

For the period as announced by the deposit taking bank

For the period as announced by the deposit taking bank

Rate of interest

Banks are free to determine the interest rates

Banks are free to determine the interest rates

The two Annexures in the PIS Form are to be used for filling up the details of shares held by the NRI customer in various capacities.Click here to download Annexure 1 (NRE)Annexure II-NRO

No, he has to obtain an NOC from the other Bank & the PIS permission would be transferred to HDFC Bank. An NRI can hold only one PIS Permission (1 NRE & 1 NRO) which is transferable.

No, these shares cannot be transferred into his NRE Demat Account. 

PIS Account is always opened as per the holding pattern of the Demat Account. Thus if Demat Account exists in combination of A + B + C, then the PIS permission too would be in combination of A + B + C. However, the Bank Account can be solely in the name of A. 


  Tax Details Long Term Capital Gains (LTCG) Short Term Capital Gains (STCG) Futures & Options
A Base TDS  Rate 10% 15% 30%
B Surcharge @ 15 % of Base Rate 1.50% 2.25% Basis Income level*
C Education Cess @ 4 % of above  0.46% 0.69% 1.20%
  Total Tax rate (A+B+C) 11.96% 17.94% 31.20%


1. Short term capital losses are allowed to set off against STCG and LTCG.
2. Long term capital losses are allowed to set off against LTCG only.
3. Capital lossed are  allowed to set off for the particular financial year only and losses are not carry forwarded to next financial year
4. Tax benefit upto Rs 1 lakhs is not provided in equity.  Client can claim back by filling Income Tax returns separatly.
5. Set off  losses in Futures & options  are  allowed  to set off against profits in dervatives for the particular financial year only and losses are not carry forwarded to next financial year.
6. Total Tax rate in derivatives income will change as per income level of the client basis Income tax guidelines.

In case of sale of ESOP shares, Fair Market Value will be considered as Cost of Purchase provided Perquisite tax has been paid in India.

In case of perquisite tax is not paid in India, Grant Price will be considered as Cost of Purchase and accordingly TDS will be determined.

Client need to report the shares allotted  under right issue to PIS Department of the HDFC Bank in prescribed format.
Shares allotted under Right issue are not permitted to sell unless reported to PIS.
Kindly contact [email protected] for the process.

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