How to open NRI Demat Account online?

A demat account is a mandatory account for NRIs to invest or trade in the Indian stock market, Mutual Funds, ETFs, Bonds, NCDs, etc. Demat account is like a bank account but instead of money, it holds securities in electronic format.

NRIs need following accounts or permission to invest in Indian Stock Market:

1. PAN Number
2. NRI Bank Account (NRE or NRO)
3. NRI Trading Account
4. NRI Demat Account
5. PIS permission by RBI (if investing on a repatriation basis)
6. CP Code (if trading in F&O)

There are 2 ways to open these accounts:

1. Open 4-in-1 Account with a Bank
2. Open Bank account with a Bank and Trading & Demat Accounts with a broker

The 1st option of account opening is easy, convenient, and completely online. Visit the website of any one of the popular banks (prefer the bank you already have a relationship with) and fill their NRI Account inquiry form. You will get a call from them in 24 hours to assist you with account opening.

In the case of the 2nd options, first, follow the above steps to open the 2 bank accounts. Once you have them ready, choose a broker i.e. Zerodha, Angel One or Sharekhan to open the trading and demat account.

Note the 4-in-1 account offer convenience but their charges are very high in comparison to the brokers like Zerodha or ProStocks. Also, the trading tools available with discount brokers like Zerodha are way more superior then the banks.

Documents required to open an NRI Demat Account

• Filled demat account opening form signed by all the holders.
• PIS Permission Letter from the bank (if investing on a repatriation basis)
• Photographs of all the holders with signatures across the photo.
• PAN Card copy for all holders.
• Overseas address proof for all the holders.
• Canceled cheque of the linked NRE/NRO Bank account specified in the form
• Photograph and signature of the nominee (for nomination facility).