Who can invest
Non-resident Indians, persons of Indian origin and overseas citizens of India can invest in most Indian mutual fund schemes. Three conditions apply: your KYC must be complete, the money must come from an NRE or NRO account, and the investment must be made in Indian rupees. There is no separate NRI product range — you invest in the same schemes as resident investors.
NRE or NRO: the decision that matters most
This is the one choice that is difficult to change later, because it determines whether redemption proceeds can leave India.
NRE account
Funded from income earned abroad. Investments are treated as repatriable — on redemption, proceeds can be remitted back to your country of residence, net of applicable tax. This is the usual route where the money may be needed overseas.
NRO account
Funded from income earned in India — rent, dividends, pension. Repatriation is restricted to the limits permitted under RBI rules and requires additional documentation. Suitable where the money is intended to stay in India.
Many clients run both: an NRE-funded SIP for long-term goals abroad, and NRO-funded investments for Indian rupee obligations such as a parent’s expenses or a property purchase.
KYC and documentation
The NRI KYC requires a little more than the resident version, and is completed once.
Identity
PAN card and passport, including the pages showing the visa or residence permit.
Address
Overseas address proof and Indian address proof where one exists. Both are recorded.
Banking
NRE or NRO account details, and a cancelled cheque or bank statement.
Declarations
FATCA and CRS declarations stating your tax residency, plus in-person verification, usually by video call.
How the process runs
A call to establish the plan
A 30-minute video call across time zones. We establish the goals, the horizon, the currency in which the money will eventually be needed, and your residency status for tax purposes.
KYC and account mapping
Documents collected and submitted, video verification completed, and your folios mapped so everything is visible in one place.
The first investment
SIP mandate or lumpsum, from the account type the plan calls for. Scheme availability is confirmed against your country of residence before anything is executed.
Review
An annual review by video, plus a statement whenever you ask for one. Residency changes, address changes and bank changes are handled as they arise.
Taxation, in outline
Capital gains on Indian mutual funds are taxable in India, and for NRIs tax is deducted at source at the time of redemption — unlike resident investors, who pay when filing. The rate depends on whether the scheme is equity-oriented and on how long the units were held.
India has double taxation avoidance agreements with most countries where our clients live, which may allow credit for Indian tax against your liability at home. How that works depends on your country’s rules, not India’s. Tax law changes with each Finance Act, and residency rules differ by jurisdiction — obtain advice from a qualified tax adviser in both countries before acting. We are an AMFI registered mutual fund distributor and do not provide tax or legal advice. The general framework is set out in how mutual fund gains are taxed.
Country-specific points
UAE and the Gulf
The most common NRI client base. No local income tax in most Gulf states, which simplifies the position considerably. NRE-funded SIPs are the usual structure.
United States and Canada
Several fund houses do not accept investments from US and Canada residents because of FATCA reporting. Others do. The available scheme list is shorter but adequate; we confirm it before recommending anything.
United Kingdom
Investments are accepted across fund houses. UK residents should consider how Indian gains interact with UK reporting-fund rules — a point for a UK tax adviser, not for us.
Singapore and Australia
No unusual restrictions on investing. Both have tax treaties with India. Local reporting of foreign assets is generally required, so keep your Indian statements.
What we do, and what we do not
We are an AMFI registered mutual fund distributor, ARN 129145. We help you structure goal-linked investments, complete the paperwork from abroad, and review the portfolio each year. We do not provide tax advice, legal advice, or portfolio management, and we do not promise returns. Mutual fund investments are subject to market risks; read all scheme related documents carefully.
Common questions
Can NRIs invest in Indian mutual funds?
Yes. NRIs and PIOs can invest in most Indian mutual fund schemes, subject to completing KYC and investing through an NRE or NRO bank account. Investment must be in Indian rupees.
What is the difference between investing through NRE and NRO?
Investments from an NRE account are repatriable — proceeds can be sent back abroad. Investments from an NRO account are generally non-repatriable beyond the limits permitted under RBI rules. The choice is made at the time of investment and affects what happens on redemption.
Do NRIs need a separate KYC?
NRIs complete the same KYC process with additional documents: passport copy, overseas address proof, PAN, and in-person verification which can usually be completed by video. FATCA and CRS declarations are also required.
Can NRIs from the USA and Canada invest?
Some fund houses accept investments from US and Canada residents and others do not, because of FATCA reporting obligations. Scheme availability is narrower but workable. We confirm which schemes are open before any recommendation.
How are NRI mutual fund gains taxed in India?
Capital gains are taxable in India and tax is deducted at source on redemption for NRIs, at rates depending on scheme type and holding period. India’s double taxation avoidance agreements may allow relief in your country of residence. Confirm your position with a qualified tax adviser in both jurisdictions.
Can the whole process be done online from abroad?
Largely yes. KYC, video verification, account mapping and transactions are handled online. Some fund houses still require a physical signature on specific forms, which can be couriered.
Does an NRI need a Power of Attorney?
Not necessarily. A POA in favour of a resident relative is sometimes used for operational convenience, but it is not a requirement for investing.
What happens to my investments if my residency status changes?
You inform the fund house and your KYC is updated. Existing holdings continue; the account type and tax treatment change from the date of the status change. Telling us early avoids complications at redemption.
Investing from abroad, and want the structure checked?
A 30-minute video call, scheduled to your time zone. No obligation, and nothing is executed on the call.