SBI is a depository participant registered with both NSDL and CDSL and offers various depository services to NRIs and OCIs. Non-Resident Indians who wish to invest in shares, bonds and debentures of Indian companies can apply for SBI NRI Demat account. SBI provides a Demat account through its subsidiary, SBI Cap Securities Ltd (SBICap). A Demat account holds securities in electronic form. NRIs can open two types of Demat account as follows:
- NRE (Repatriable) Demat Account
- NRO (Non-Repatriable) Demat Account
Features of SBI Securities NRI Demat Account
- It is mandatory for NRIs to open an NRI Demat account to invest in stocks, IPOs, bonds, etc. of Indian companies.
- SBI NRI Demat account is a safe way to keep your securities in electronic form.
- NRI applicants can choose the account subtype as repatriable or non-repatriable account.
- Your NRE or NRO bank account needs to be linked with the Demat account.
- Dividends and bonus income are automatically credited to the linked NRE or NRO bank account. Similarly, if you buy securities, your linked NRI account is debited with funds.
- You can open a Demat account jointly with another NRI.
- A Demat account facilitates converting physical share certificates into electronic balances or other way round.
- It also facilitates faster and direct credit of security balance into DP accounts.
Note: A Demat account is not mandatory for NRIs to invest in mutual funds in India. NRIs can download SBNRI App to choose from 3000+ mutual fund schemes in India or to ask any questions related to mutual fund investment.
SBI NRI Demat Account Opening Process
The procedure for NRI Demat account opening is simple and no RBI approval is required. When applying for an NRI Demat account, an NRI customer needs to mention the account type as NRI and subtype as repatriable or non-repatriable. To hold both repatriable and non-repatriable securities, the NRI needs to open separate Demat accounts.
To open a Demat account with SBI Securities, you need to fill SBI trading and Demat account opening form.
NRI Demat Account Prerequisites
Before opening a Demat account, you need to have the following details:
- PAN Card
- NRI Account (NRE or/ and NRO)
- PIS approval by RBI (for NRE Demat Account)
Documents Required
Attach required documents with the Demat account opening form and send it to your desired SBI home branch in India.
- Passport
- VISA / Resident Permit
- PIO/ OCI Card (in case of foreign resident)
- Valid tax proof of country of residence
- PAN Card
- Foreign address proof
- Indian address proof
- Latest NRE/ NRO bank account statement
- A canceled cheque
- 3 Photographs
- RBI Permission Letter
- General Power
Note:
- All documents must be self attested by each applicant and verified by the local Indian embassy/ consulate or any other competent authority like SBI officials (with their SS No.)/ Notary Public/ High Commissioner/ Consulate General in the country of their residence.
- Submit two copies of each documentary proof.
SBI NRI Demat and Trading Account Charges
| Transaction | Fee |
|---|---|
| Scheme code | NRI |
| Account opening charge (Rs) | Rs. 2000 |
| Demat AMC (Rs.) | Rs. 600 (Free for first year) |
| PIS Approval (one time) | Rs. 500 |
| Brokerage Rate | 0.75% |
Note:
- Standard charges are given in the application form.
- Taxes will be applicable in addition to all charges.
Living away from India, it is not easy for NRIs to open a NRI Trading account or Demat account and make the right decision about investment in India. At SBNRI, we understand that there are many obstacles faced by NRIs while investing in India. You can download SBNRI App to connect with our experts and get end-to-end assistance related to an NRI investment.
You can also click on the button below to ask any questions. Visit our blog and YouTube Channel for more details.
FAQs
Yes, NRIs can and are required to open a Demat account to invest in stocks, bonds, debentures and mutual funds of Indian companies. NRIs can open an NRE or NRO Demat account.
Yes, an NRI can open a joint NRI Demat account with another NRI or resident Indian.
You don’t need to seek any approval from the RBI to open a Demat account. However, to trade in the stock market in India on a repatriation basis, you need PIS permission from the RBI. The bank where you have your NRI account helps you to get the permission. PIS enables NRIs to trade or invest in stocks in India by routing these transactions through their NRE bank account.
As per the RBI guidelines, an NRI or OCI can invest in stocks of Indian companies by approaching an AMC (bank) authorized by the RBI to administer the Portfolio Investment Scheme to open an NRE or NRO account under the scheme for routing investments.
