The two routes, side by side
| Onshore PMS or AIF | GIFT City fund | |
|---|---|---|
| Regulator | SEBI | IFSCA |
| Currency | Indian rupees | Usually US dollars |
| Accounts needed | NRE or NRO, plus demat | Your overseas bank account |
| Minimum | ₹50 lakh (PMS) or ₹1 crore (AIF) | Typically USD 150,000 |
| Indian tax | Taxed in India, with tax deducted at source | Separate IFSC regime, with significant exemptions for non-residents |
| Repatriation | NRE: freely repatriable. NRO: within limits, with paperwork | Paid in dollars to your overseas account |
The background to both, including the tax detail, is in our NRI guide.
What you will need
For the onshore route
- Passport, and visa or OCI card
- PAN card
- Overseas address proof and an Indian address proof where you have one
- NRE or NRO bank account details — we can help you open one if needed
- FATCA and CRS declarations
- Photographs and specimen signature, attested as the custodian requires
For a GIFT City fund
- Passport and overseas address proof
- Overseas bank account details
- Tax identification number in your country of residence
- The fund’s own KYC and subscription documents
Which route suits you
| If you… | The usual answer |
|---|---|
| already hold rupee savings in NRE or NRO accounts | Onshore PMS or AIF |
| want to invest dollars held abroad without converting them | GIFT City fund |
| plan to return to India in a few years | Onshore, which continues once your accounts are re-designated |
| want the simplest Indian tax position as a non-resident | GIFT City, subject to advice where you live |
| are a US or Canadian taxpayer | Fewer managers will onboard you; take specialist advice on PFIC rules before investing in any non-US fund |
Tax and getting money out
- Onshore gains are taxed in India at the same rates as for residents, with tax deducted at source.
- A DTAA with your country of residence may reduce Indian tax or give you a credit at home, usually with a Tax Residency Certificate and Form 10F.
- NRE-funded investments and their proceeds are generally freely repatriable after tax.
- From an NRO account, you can repatriate up to USD 1 million per financial year, with Forms 15CA and 15CB.
- GIFT City funds pay proceeds in dollars to your overseas account.
We are not tax advisers, and your position depends on where you live. We will set out the Indian side clearly and work alongside your adviser abroad. The detail is in how PMS and AIFs are taxed.
How long it takes
| Stage | Typical time |
|---|---|
| Eligibility check and route decision | 2–4 days |
| Account opening (NRE/NRO, demat) where needed | 1–3 weeks, depending on your bank and country |
| KYC, attestation and agreements | 1–2 weeks |
| Funding and first deployment | Days once accounts are live |
Attestation abroad is usually the slowest step, so we start it first rather than last.
Frequently asked questions
Can NRIs invest in PMS in India?
Yes. NRIs can invest through NRE or NRO accounts, subject to KYC and FEMA requirements, with the same ₹50 lakh minimum as residents.
Do I need to come to India to invest?
No. Account opening, KYC and signing can generally be completed from abroad, with documents attested by the Indian embassy, a notary or your overseas banker.
Can US-based NRIs invest?
Some portfolio managers accept US residents and many do not, because of the compliance involved. US taxpayers should also take advice on PFIC rules before investing in any non-US fund.
What is the minimum for a GIFT City fund?
Typically USD 150,000 for restricted (non-retail) schemes, though terms vary by fund and investor type.
How much can I repatriate?
Investments made from an NRE account are generally freely repatriable after tax. From an NRO account, up to USD 1 million per financial year with the required tax documentation.
Will I be taxed twice?
A Double Taxation Avoidance Agreement between India and your country of residence usually prevents that, either by reducing Indian tax or by giving you a credit at home. You will normally need a Tax Residency Certificate.
What happens if I move back to India?
Your holdings continue. Accounts are re-designated from non-resident to resident status, and we help coordinate that with the custodian.