NRIs Ride High On Stocks and Real Estate

Indian Stock Market and Real Estate sector is attracting NRI attention
in a huge way. Non-resident Indians are more and more tending towards
investment in these two sectors. This is primarily due to the fact that
India is growing at a faster pace than other countries and the equity
market has outperformed those of developed nations.

NRIs know the potential of investments in India very well but find
it difficult to execute a comprehensive plan. Most green card holders
have not capitalized on the Indian growth story because of their poor
evaluation of the market. NRIs rarely find time from their hectic professional
life, they lack proper advice or find handling and monitoring investment
transactions inconvenient, says Anand KS of Nile Financial Planners.

Another point of concern felt by NRIs is the transparency level on
charges in various trading sites and other investment options. Remember
to ask for details regarding time horizon of investment, risk and return
before starting off and opening accounts.

NRIs need to keep in mind the restrictions on many government bonds.
An NRI needs to decide if he wants his returns repatriable or not. Repatriable
investments would have higher regulations and operationally would be
more difficult.

To invest on a repatriable basis, the person must have an NRI or FCNR
bank account in India. In this case, the net income or capital gains
after tax is eligible for repatriation subject to regulatory guidelines.
In the case of investment on a non-repatriation basis, only the net
income the dividend arising out of investment is eligible for repatriation

.

Photo: UB City towers, Bangalore (2025) by Gpkp, licensed under CC BY-SA 4.0, via Wikimedia Commons.