Are NRIs allowed to participate in equity intraday trading?
No, NRIs are not permitted to engage in equity intraday trading in India as per prevailing regulatory guidelines. Every trade placed by an NRI must be settled on a delivery basis, meaning the investor must own the shares before selling and take delivery when buying.
This restriction is aligned with the rules set under the Foreign Exchange Management Act (FEMA) and the Portfolio Investment Scheme (PIS) framework, ensuring transparency and risk mitigation in capital flows.
Summary of equity trading restrictions for NRIs
| Activity | Permitted? | Notes |
|---|
| Intraday trading | ❌ Not allowed | NRIs must take/give delivery for all trades |
| Short selling | ❌ Not allowed | Selling without owning shares is restricted |
| Delivery-based trading | ✅ Allowed | Only through PIS or Non-PIS accounts depending on repatriability |
| F&O trading | ✅ Allowed (via NRO Non-PIS + CP code) | Requires CP setup through FYERS partner custodian |
What if...
| Scenario | What you should know |
|---|
| You accidentally place an intraday order | The system will reject or auto-convert to delivery, depending on platform safeguards |
| You want to trade frequently | Consider short-term delivery-based strategies within regulatory boundaries |
| You're unsure about trade type | Use the 'Overnight' or 'Delivery' product type on FYERS to ensure compliance |
For NRIs seeking higher trading flexibility, delivery-based strategies combined with F&O via CP route (on NRO accounts) offer broader opportunities while staying fully compliant.
To align your investments with NRI guidelines and explore compliant strategies, submit your details here to open your NRI trading account.
Last updated: 24 Jun 2025
Related Articles
Is currency derivatives trading allowed for NRIs?
As per current regulatory guidelines, Non-Resident Indians (NRIs) are not permitted to trade in currency derivatives on Indian exchanges. This restriction is enforced to ensure compliance with FEMA regulations and to limit speculative exposure ...
What are the brokerage charges for NRIs trading in the F&O segment?
At FYERS, Non-Resident Indians (NRIs) trading in the Equity Futures & Options (F&O) segment are subject to a flat, transparent fee structure tailored for regulatory compliance and custodial processing. Brokerage & Custodian charges Charge type ...
Is it allowed to trade in equity delivery by linking other Demat accounts?
No, it is not allowed. If we had allowed you link your existing Demat account which is held with another broker with your Fyers trading account, you would have been able to buy shares through us, but you wouldn’t have been able to sell them through ...
Can NRIs open both NRE and NRO trading accounts?
Yes, Non-Resident Indians (NRIs) can open two distinct trading accounts—one linked to an NRE (Non-Resident External) account and another to an NRO (Non-Resident Ordinary) account. Each account serves a different purpose and is governed by its own ...
Is FYERS API accessible to NRIs for trading?
Yes, Non-Resident Indians (NRIs) can access and trade using FYERS APIs after successfully opening an account with FYERS. The APIs offer a flexible and powerful way to place and manage trades, integrate with custom strategies, or automate trading ...