How do I transfer securities from an NRE to NRO demat account?

The transfer of shares from an NRE Demat Account to NRO Demat Account is not permitted. Shares purchased under PIS (NRE demat account) shall be sold on stock exchange only. Such Shares cannot be transferred.

Note:

• NRE demat account is linked to NRE Bank Accounts (PIS). The dividend credited for the securities held in NRE Demat Account is freely repatriable.
• NRO demat account is linked to NRO Bank Accounts (Non-PIS). The dividend credited for the securities held in NRO Demat Account is repatriable.As per laws, repatriation of funds up to USD 1 million per year is allowed, along with other assets for NRIs/ PIOs.

Both of these accounts have different compliance, tax obligations, and repatriability.