Zerodha cuts brokerage, launches new onboarding flow to simplify investing for NRIs
Zerodha has cut trading fees for non-PIS NRI accounts to Rs 50 or 0.5% and launched a simplified onboarding process to attract NRI investors. The move follows SEBI’s regulatory easing and aims to reduce paperwork, boosting NRI participation in Ind...
By Akash Podishetti, ETMarkets.com |
ETMarkets.com
Online brokerage Zerodha has slashed trading charges for non-PIS (Portfolio Investment Scheme) NRI accounts and introduced a simplified onboarding process to attract more non-resident Indian (NRI) investors, who have long found India’s account opening procedures too cumbersome.
Nithin Kamath, founder and CEO of Zerodha, said in a post on X that the number of NRIs interested in investing in Indian markets but held back due to paperwork and embassy visits is “quite high.” He noted that the average value of NRI accounts is at least ten times higher than that of resident Indian accounts.
Addressing longstanding concerns from the diaspora, Kamath announced that Zerodha has reduced brokerage fees for all non-PIS NRI accounts to Rs 50 or 0.5%, whichever is lower. This follows a recent regulatory change by SEBI that removed the requirement for a custodial participation (CP) code for NRIs trading in the derivatives segment.
However, PIS-based accounts — which still involve regulatory oversight through banks — will continue to be charged Rs 200 or 0.5%, whichever is lower, due to operational complexities, he clarified.
The company has also launched a redesigned NRI onboarding process aimed at reducing paperwork. Kamath said the new flow is part of a broader effort to simplify and digitize the investing experience for NRIs, many of whom face challenges such as embassy visits and extensive documentation.
The move is expected to increase participation from a segment that remains underrepresented in Indian equity markets, despite its high investment potential.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
Nithin Kamath, founder and CEO of Zerodha, said in a post on X that the number of NRIs interested in investing in Indian markets but held back due to paperwork and embassy visits is “quite high.” He noted that the average value of NRI accounts is at least ten times higher than that of resident Indian accounts.
Addressing longstanding concerns from the diaspora, Kamath announced that Zerodha has reduced brokerage fees for all non-PIS NRI accounts to Rs 50 or 0.5%, whichever is lower. This follows a recent regulatory change by SEBI that removed the requirement for a custodial participation (CP) code for NRIs trading in the derivatives segment.
However, PIS-based accounts — which still involve regulatory oversight through banks — will continue to be charged Rs 200 or 0.5%, whichever is lower, due to operational complexities, he clarified.
The company has also launched a redesigned NRI onboarding process aimed at reducing paperwork. Kamath said the new flow is part of a broader effort to simplify and digitize the investing experience for NRIs, many of whom face challenges such as embassy visits and extensive documentation.
The move is expected to increase participation from a segment that remains underrepresented in Indian equity markets, despite its high investment potential.
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(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
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