Portfolio Investment Scheme(PIS)
- Features & Benefits
- Transactions Covered
- Rates & Charges
- Tie Ups
- Get Assistance
- Speedy account opening.
- No minimum balance for opening a PIS account.
- Low transaction charge.
- Internet banking facility for PIS account.
- Computation and deduction of capital Gains Tax on behalf of customers.
- Issue of TDS Certificates to customers.
- Mandatory reporting of PIS transactions to RBI on daily basis.
- Simplified Documentation for account opening.
- Facility to choose from wide range of registered empanelled brokers with Federal Bank.
- Facility for easy transfer of funds between linked accounts.
- Nomination facility.
- Normal Interest rate is applicable to funds available in the PIS account.
- Daily statement of transactions.
If you are an NRI customer and would like to open a PIS account, please submit your contact details. We will get in touch with you. To submit your contact details, please click here.
- Equity Share and Convertible Debentures purchased from secondary market.
- Shares acquired by split
- Shares acquired on conversion of ADRs/GDRs
- Shares acquired under Direct Investment Schemes
- Shares purchased outside India from other NRI/OCB
- Mutual Funds
- Insurance investments
- Inward remittance in foreign exchange through normal banking channels
- Transfer from applicant's other NRE accounts or FCNR(B) accounts or NRO accounts maintained with banks in India
- Net sale proceeds (after payment of applicable taxes) of shares and convertible debentures which were acquired on repatriation basis(for NRI PIS) and non repatriation basis(for NRO PIS) and sold on stock exchanges through registered brokers.
- Dividend or income earned on investments under PIS.
- Outward remittances of dividend or income earned.
- Amount paid on account of purchase of shares and convertible debentures on repatriation basis or non repatriation basis on stock exchanges through registered broker under PIS.
- Any charges on account of sale/purchase of shares or convertible debentures under PIS.
8. When a resident Indian becomes a non-resident, is it required to change the status of holding from Resident to Non-Resident?
- Account Opening and Minimum Balance Charges –Nil
- Transaction Charges-Rs 100/-+Service Tax per segment and independent of volume of trade.
- Annual Maintenance Charges –Rs 1000/- + Service Tax
For more details, please contact PIS Division of Federal Bank
PIS Division I Federal Towers I Marine Drive I Ernakulam I Kerala 682031
Contact numbers: 91 484 2385582 /2385505
How to Invest in Shares in India
Are you an NRI who wants to trade on a recognized Indian stock exchange? Then, it is important for you to open and maintain an NRO/NRE and a PIS account for trading and for repatriation.
PIS - Portfolio investment scheme is a scheme introduced by the Reserve bank of India. All the NRIs can only have one PIS account with any designated bank branch and the main objective of this account is to have secondary market transactions. The NRI investment schemes enable the NRIs to purchase or sell shares and debentures on a recognized stock exchange/ market by the transactions through their NRI Savings account rather than trading through brokers.
If an NRI has an NRE account, it becomes easy for them to repatriate their money and also, they can transfer their amount/ funds from NRE to NRO but not vice versa. If an NRI has an NRO account, there are certain regulations to repatriate the amount, but there are certain benefits as well to open an NRO account.
The main advantage of investing in shares or debentures is the potential capital gains that can grow in value over time, income from the dividends and lower tax rates on long-term capital gains. Opening a PIS account and investing in share is a major investment idea as it can offer the highest returns in a short-term period.
Investing in a company's shares means you own a part of that company. The share market is a huge ocean of options for NRI investment in India. When it comes to investing, we want to grow our money with the highest rates.
An intelligent investment is worth it. While there are no shortcuts to getting rich, there are smart ways to go about it – Invest in shares!