PIS Accounts for NRIs: An Introductory Guide
30 Mar 2022

PIS Accounts for NRIs: An Introductory Guide

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Key Takeaways

PIS stands for Portfolio Investment Scheme. It is a facility through which NRIs can invest in India. You will need an individual NRE or NRO account to invest in PIS.


If you are an Indian citizen living abroad but want to invest in India, you can do so conveniently. As an NRI, you can participate in the Indian investment market and buy stocks, bonds and mutual funds through a facility known as the Portfolio Investment Scheme or PIS. Find out all you need to know about PIS Accounts for NRIs in this article.

What Is The Portfolio Investment Scheme?

As the name suggests, PIS is an investment scheme or mechanism introduced by the Reserve Bank of India for NRI investments in India. Through a PIS Account, NRIs can invest in equity, debt, and other types of stock exchange instruments and government securities. As per the Foreign Exchange Management Act (FEMA) 2000, Schedule 3, NRIs may trade in shares and convertible debentures of India-registered companies through a recognised Stock Exchanges by routing their transactions through their NRI bank accounts with RBI-approved banks.

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PIS Account For NRIs – The Key Highlights

  • You may invest in stocks and bonds of companies listed on the various stocks Exchanges in India on a repatriation and non-repatriation basis.
  • You may invest in derivative instruments like Futures and Options, traded only through specific stock exchanges and execute trades only on a non-repatriation basis, subject to RBI regulations and limits.
  • You must observe the RBI-mandated ceiling on the number of permitted shares in your investment portfolio.
  • You may channel your transactions only through RBI-designated bank, and by extension, an NRI Savings Account (NRE or NRO) under PIS.
  • You must ensure you open a separate, individual bank account for PIS. The RBI does not permit joint PIS accounts.

Requirements For PIS Account For NRI

To invest in the Indian investment market through recognised Stock Exchanges, you need to set up your NRI Savings Account with an RBI-approved bank with a global presence - DBS Treasures, for instance.

If you wish to repatriate your principal investments and profits to your overseas account, you will need a Non-Resident External or NRE PIS Account. Conversely, if you do not wish to repatriate your assets to your foreign account, you can open a Non-Resident Ordinary or NRO-linked PIS Account.

PIS Account – The Exclusions

You must adhere to the RBI guidelines and ensure you do not do the following things to continue availing of PIS facilities:

  • You must avoid investing in companies engaged in the business of agricultural or plantation activities, chit funds, real estate related to agriculture or farmlands, etc.
  • You may not invest in exchange-traded derivatives approved by the SEBI using your rupee funds or repatriate them.
  • You cannot continue holding your NRO or NRE Account or invest through the NRI PIS Account if your residency status changes to Resident Indian.


Now that you know PIS Account meaning, you can reach out to your bank, which you have your NRI Accounts and start investing in India. Ensure you do your due diligence and adhere to RBI guidelines while utilising this unique facility that enables you to participate in the Indian growth story.

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*Disclaimer: This article is published purely from an information perspective and it should not be deduced that the offering is available from DBS Bank India Limited or in partnership with any of its channel partners.

The purpose of this blog is not to provide advice but to provide information. Sound professional advice should be taken before making any investment decisions. The bank will not be responsible for any tax loss/other loss suffered by a person acting on the above.