Can an NRI Trade in Derivatives Through Motilal Oswal
Can an NRI Trade in Derivatives Through Motilal Oswal

Can an NRI Trade in Derivatives Through Motilal Oswal

Motilal Oswal Financial Services Limited is a full-stack stock brokerage that gives you a diversified platform and resources to become a great investor. In its quest to promote online stock trading, the prominent brokerage has introduced AI - based portals and user-friendly platforms for all its Indian-citizen clients and NRIs too. Infact, the company has a wide NRI base of customers who can trade in anything from equities, currency and forex, to gold and derivatives through MO (Motilal Oswal). Trading and investment services are the cornerstone of Motilal Oswal’s popularity as a favourite brokerage, this side of Asia. 

A Full-Service Broker 

Among products offered by Motilal Oswal, it offers mutual funds, IPOs and fixed income instruments. It is also recognised as having a functional and effective ‘Portfolio Management Service’ and encourages investors in portfolio allocation with a blend of investment options. If not the best trading platform, one of the best in India, Motilal Oswal can give NRIs the opportunity to trade through laptops, smartwatches and smartphone apps with an easily navigable portal and convenient sign-up procedures for NRIs or non-resident Indians. With a dedicated division for NRI clients, the company has always encouraged Indian investors who live abroad to partake in its online trading facilities, publishing close to 30,000 and more research reports, spread over more than 260 companies with 21 sectors included. 

Online Brokers with NRI Connections

For an NRI to trade in derivatives through Motilal Oswal, they have to open a two-in-one NRI trading account. This should be linked to a Demat account. NRIs also need to open NRE or NRO bank accounts and get what is called a PIS letter before opening any trading account with Motilal Oswal. For the facilitation of  the opening of bank accounts for NRIs, MO has partnered with premier Indian banks like HDFC Bank. If an NRI wishes to trade in derivatives or futures and options trading, they need to open a Custodial Account with a CP Code. All NRI customers of Motilal Oswal need to have this code to trade. IL & FS Securities represents a third-party custodian that makes available a CP Code to NRI clients who wish to trade in derivatives. Therefore, trading becomes transparent and safe. 

NRI Trading in Derivatives with MO

If you are an NRI, you can get set and go with Motilal Oswal and online stock trading in derivatives. To start trading, you first have to transfer money from your NRE or NRO bank account into your PIS account with Motilal Oswal. This is a Portfolio Investment Scheme (PIS) that lets NRIs invest in stocks of companies in India under a non-patriation or repatriation basis. They can trade in stocks or derivatives through any registered stock broker like Motilal Oswal on any authorised stock exchange in India. After funds are allocated, trading in derivatives can begin seamlessly. Contract notes are sent to your bank by Motilal Oswal, depending on whether you wish to sell shares or buy them. Your PIS account is credited with the earnings from a sale. You can smoothly trade in derivatives at Motilal Oswal, no matter whether you are an NRI or an Indian citizen. 

Related Articles: How to Open a Demat Account Without a Broker | Factors to Keep in Mind While Opening a Demat account | Factors to Consider When Opening a Demat Account | 10 Points to Remember When Operating your Demat Account | Types Of Demat Account & Trading Account

 

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