NRI's should keep themselves updated with the developments in Indian stock markets. They can make huge amount of money by investing in dull market and selling when the bulls are all around. There are also lots of brokers whoe can help them out in choosing a good investment option. Indian government has opened up various ways for Non resident Indians for investing in india, this helps in two ways as it gives constant inflow of USD's into country thus keeping rupee depretiation in check and it is like another source of investment from outside world. Many tax heaven nations like Mauritius tops the list of foreign investments into India, but acc to me this money is Indian black money coming back through foreign route(it's not proved though).
So here I explain various options available to NRI's for investment in Indian Stock markets:
Foreign Direct Investment: Companies with HQ in some other country can now invest in a Indian company as a majority stake holder and in some industries as 100% stake holder. Only some few restricted sectors are still barred from foreign direct investment.
Investment through foreign brokers: SEBI has how opened Individual investment through foreign stock brokers registered by SEBI, so NRI's should check registration certificate before investing through foreign broker. These brokers now invest FIIs clients money through the members of Stock Exchanges.
Foreign institutional Investors: foreign investors can get themselves registered with SEBI and Reserve bank of India and invest in indian listed companies through stock market route, Some of the institutions like Goldman sachs have investments in many indian companies. such investment is governed by rules and regulations laid down by SEBI. Foreign investors can invest in Euro issues of Indian companies and in India-specific funds floated abroad.
HAPPY TRADING
No comments:
Post a Comment