Mutual Funds For NRI | SBI Mutual Fund (2024)

1. How does an NRI invest in SBI Mutual Fund (SBI MF)?

A Common Application Form duly completed along with Rupee cheque or Rupee draft should be submitted / mailed to any of the Official Points of Acceptance of Transactions specified by SBI Mutual Fund (SBI MF). Investors can send their completed application forms with distributors appointed by SBI MF from time to time for onward submission to any of the Investor Service Centres. All cheques/DDs must be drawn in favour of "Name of the Scheme" and crossed "A/c payee" only and payable at the place where the application is submitted at the official point of acceptance. An NRI choosing to invest in SBI MF currently cannot make the investment in foreign currencies. The NRI investor needs to give a cheque or draft in rupees from his/her NRE, NRO bank account in India. The NRI investor may also send a rupee cheque/draft issued by an exchange house abroad drawn on its correspondent bank in India. However, for an NRI to invest it is mandatory that he/she maintains a bank account in India. Documents to be attached: If an NRI investor invests in SBI Mutual Fund Schemes through Rupee draft/Bankers cheque, then any of the following documents should be attached along with the Application Form : A Foreign Inward Remittance Certificate (FIRC) or Confirmation letter issued by the bank confirming the source of funds or A photocopy of the Rupee draft/Bankers cheque When the investment is made by a Rupee cheque issued out of a NRE/NRO bank account in India, a photocopy of the NRE/NRO cheque should be attached along with the Application Form : A Foreign Inward Remittance Certificate (FIRC) or Confirmation letter issued by the bank confirming the source of funds or A photocopy of the Rupee draft/Bankers cheque When the investment is made by a Rupee cheque issued out of a NRE/NRO bank account in India, a photocopy of the NRE/NRO cheque should be attached along with the Application Form. Post-dated Rupee cheque will not be accepted. Please ensure that the cheques are correctly dated at the time of submission of the application forms.

2. How can an NRI carry out transactions like additional purchase / redemption / switching?

1st Option - Apply Online Currently investors can only purchase units of our schemes online with redemption and switching possible only through conventional means. If you would like to purchase units of our schemes and are a first time visitor to our site please take some time to register with us. Investors who have already registered with us can enter their username and password to transact online. You would require an Internet Banking account login and pin with banks we have partnered with like SBI, HDFC Bank, IndusInd Bank, IDBI Bank and UTI Bank (more to be added soon). Read the Offer Document, risk factors and disclaimers for the fund. Fill the online application and transfer funds through the banks available, purchase will be recorded and processed as per the cut off time of respective scheme. Print a copy of the submitted online form which will be emailed to you, sign it (all holders as per the form) and mail it to our registrar. 2nd Option - Conventional Once an account is opened, the NRI investor may transact by filling up the Common Transaction Form or by simply filling the details in the transaction slip attached to the statement of the account or transaction slip downloaded from the website and mailing the same to any of the official points (As mentioned in the application form which may change from time to time) of acceptance of transactions, along with the cheque or the bank draft in case of an additional purchase.

3. What address should be mentioned on the application form? Can an NRI mention a local address for all communication?

The application form of SBI Mutual Fund has a provision for local address, but the NRI/FII Overseas Address is mandatory. If the local address is also provided, in such cases, the Indian address is registered for the purpose of contact and the foreign as an alternative address. The Statement of Account will reflect the Indian address and the communication will be sent to this address only. However, if the investor wants the foreign address for the purpose of communication, the same can be registered accordingly.

4. Is the Income/Dividend on mutual fund units repatriable?

The entire income/dividend received on investment will qualify for full repatriation provided the member continues to be a Non-Resident Indian in terms of [Schedule 5 of the Foreign Exchange Management (Transfer or Issue of Security by a Person Resident Outside India) Regulations, 2000]

5. Can a Power of Attorney (POA) holder invest on behalf of the NRI investor?

Yes. In a mutual fund the POA holder has the authority to invest on behalf of the investor and sign documents for initial and additional purchases as well as request for redeeming units from the account. While applying for purchase of units the POA holder needs to submit the original POA or an attested copy duly notarized. The POA should contain the signature of both the NRI investor and the POA holder. Only then the POA is registered and the POA holder has the right to transact on behalf of the NRI investor. The POA holder's signature will be verified before and for processing any transaction/request. Attestation of the photocopy of the POA can be done by: The Notary himself or The Branch Manager of the bank where the NRI has his NRE/NRO Bank account. The name and the designation/code of the Bank Manager should be clearly mentioned. The Branch Manager of SBI Mutual Fund post verification with the original. POA should contain a clause empowering the POA holder to invest in securities on behalf of the NRI. Please note that a POA holder cannot nominate on behalf of the NRI.