Prajna Capital - An Investment Guide

With India being one of the most promising emerging markets, non-resident Indians ( NRIs ) have a keen interest in being part of the Indian growth story. Here are five questions that NRIs tend to grapple with. Can NRIs invest in mutual funds? Yes. NRIs can invest in mutual funds in India. But they must do so in Indian currency. The money should be channelised from an account specially designed for NRIs. But all investors, including NRIs, need to have a permanent account number ( PAN ). How must one invest so that the money can be taken out of the country? Payments can be made by inward remittance through funds held in the Non-Resident (External) Rupee Account (NRE) and the Foreign Currency Non-Resident Account (FCNR). Indian rupee drafts can also be purchased from these two accounts and submitted with an account debit certificate from the bank . NRE accounts must be maintained in Indian rupees but must be opened with funds remitted from abroad. The account can be in the form of a savi...