What happens to my holdings when converting a Demat account to an NRI account?
When you switch your resident Demat account to an NRI-compliant account (such as an NRO Non-PIS account), FYERS ensures a seamless transition of your existing investments and funds. This conversion is done in accordance with SEBI and FEMA regulations for non-resident investors.
What changes after NRI conversion?
- Holdings transfer:
All securities held in your current resident Demat account will be transferred to your new NRO Non-PIS Demat account. This includes equities, bonds, and mutual funds. - Cash balance adjustment:
Any residual funds in your trading ledger will be refunded to your old registered bank account or shifted to your new NRO-linked account, based on updated KYC and bank details. - Change in trading access:
Post-conversion, you will only be permitted to trade via the NRI-compliant FYERS platforms under regulatory restrictions. You may not be allowed to access certain segments like intraday or derivatives without specific approvals.
What if...
| Scenario | What you should know |
|---|
| You forgot to provide new bank details | Refunds may be delayed—ensure your new NRO account is updated in FYERS records |
| You still have trades pending at the time of conversion | These will be settled and holdings transferred only after clearing obligations |
| You want to re-convert to a resident account | A fresh KYC and documentation process is required as per SEBI norms |
Before initiating the conversion, clear all open positions and ensure your new NRO Demat and bank accounts are active to avoid delays during the transition.
Last updated: 19 Jun 2025