Can NRIs invest in exchange traded funds (ETFs)?
Absolutely! Non-Resident Indians (NRIs) are permitted to invest in Exchange Traded Funds (ETFs) in India. ETFs provide a convenient way to gain exposure to a diversified portfolio of securities and can be part of a broader investment strategy.
How NRIs can invest in ETFs?
- Investment modes: NRIs can invest on either a repatriation or non-repatriation basis.
- Through Demat account: ETFs must be held in a Demat account, which can be opened under the NRO Non-PIS or NRE PIS framework.
- Via stock exchange: ETFs are traded like equity shares and can be bought or sold on Indian stock exchanges (NSE/BSE).
This makes ETFs an attractive option for NRIs looking for cost-effective diversification across asset classes like equity, gold, debt, or sector-specific indices.
What if...
| Scenario | What you should know |
|---|
| You want to invest via FYERS | ETFs can be bought using your existing NRO Non-PIS account just like any listed stock |
| You want repatriation benefits | Use your NRE PIS account to invest in ETFs on a repatriable basis |
| You live in a FATF-restricted country | You may face restrictions; check local compliance and RBI guidelines |
ETF investing is ideal for passive exposure. Compare ETF performance, liquidity, and tracking error before placing orders.
To begin your ETF investments, open your NRI account with FYERS by submitting your details here.
Last updated: 25 Jun 2025
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