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Investment Opportunities for NRIs in India

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The Government of India has taken various steps to promote investments by Indians living abroad, in India. Investment promotion, through the dissemination of information on the investment climate and opportunities in India and advising prospective investors, including the Non-Resident Indians (NRIs) about the investment policies and procedures and opportunities, has been taken up as a priority. For the purpose of investments in India, it should be known that a NRI is a person residing outside India, but who is a citizen of India or is a Person of Indian Origin. A Person of Indian Origin is one who or whose ancestors were an Indian national and who is presently holding any other country’s citizenship/nationality. India has a liberal and transparent policy for Foreign Direct Investment, including investments from NRIs, wherein most of the sectors are open to FDI under the automatic route. NRIs can make investments in India under various schedules of the Foreign Exchang...
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Detail Guide On Gift City Funds For NRIs and OCIs

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Detail Guide On Gift City Funds For NRIs and OCIs Gujarat International Finance Tec-City, popularly known as Gift City, is India's first International Financial Services Center (IFSC). It is home to banks, financial institutions, and other global businesses, offering them a conducive environment in which to set up their shop and run their operations smoothly. In Gift City, asset management companies (AMCs) have launched their funds, which are known as gift city funds. They come with a unique set of benefits addressing the issues of non-resident Indians (NRIs) and Overseas Citizens of India (OCIs) faced with mutual fund investing in India. ‍ What Are Gift City Funds? Gift City funds are mutual funds launched by AMCs in the Gift City. They operate under the regulations of the International Financial Services Centre Authority (IFSCA). These funds invest in global markets, offering exposure to in...
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Who is NRI vs PIO vs OCI?

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As more and more Indians move abroad, the distinction between NRIs, PIOs, and OCI holders has become increasingly important. These three terms are often used interchangeably, but they refer to distinct categories of people with different legal statuses and rights. In this article, we’ll take a closer look at how these categories are defined and what they mean. ‍ NRI (Non-Resident Indian) An NRI is an Indian citizen who lives abroad and has not resided in India for more than 182 days in a financial year. According to the Indian Citizenship Act of 1955, an Indian citizen who has not resided in India for six months or more is considered a non-resident. NRIs are eligible to hold Indian passports and are entitled to most of the rights of an Indian citizen, except for the right to vote in Indian elections. The Ministry of Home Affairs of India provides detailed information on the rights and restrictions of NRIs. ...
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Term Insurance vs ULIPs

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Today, we're delving into the world of insurance to shed light on two popular products: ULIPs (Unit Linked Insurance Plans) and Pure Term Insurance. Understanding these two insurance options is crucial for making informed financial decisions and securing your future effectively.   Let's begin by defining each: ULIPs (Unit Linked Insurance Plans): ULIPs are a combination of investment and insurance. When you invest in a ULIP, a portion of your premium goes towards providing life insurance coverage, while the remaining portion is invested in various funds such as equity, debt, or a combination of both, based on your risk appetite. ULIPs offer flexibility, allowing policyholders to switch between funds based on market conditions and financial goals. Additionally, they provide the potential for market-linked returns over the long term. Pure Term Insurance: Pure Term Insurance, also known as term life insurance, provides pure life cover without any investment component. In thi...
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Portfolio Management Services

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  ABOUT  Portfolio Management Services (PMS), service offered by the Portfolio Manager, is an investment portfolio in stocks, fixed income, debt, cash, structured products and other individual securities, managed by a professional money manager that can potentially be tailored to meet specific investment objectives. When you invest in PMS, you own individual securities unlike a mutual fund investor, who owns units of the fund. You have the freedom and flexibility to tailor your portfolio to address personal preferences and financial goals. Although portfolio managers may oversee hundreds of portfolios, your account may be unique. Discretionary :-Under these services, the choice as well as the timings of the investment decisions rest solely with the Portfolio Manager. Non Discretionary :- Under these services, the portfolio manager only suggests the investment ideas. The choice as well as the timings of the investment decisions rest solely with the Investor. However the executi...
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ALTERNATIVE INVESTMENT FUND (AIF)

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ABOUT Alternative Investment Funds are an avenue to pool in funds for investing in private equity, real estate or hedge funds There are 3 categories of AIF’s : • Category I :- AIF are those funds that invest in start-ups or social venture funds, infrastructure funds, SME funds, and so on. The government or regulators consider this category of funds as socially viable or economically desirable. • Category II :-  Funds are those that do not leverage or borrow, other than to meet the day-to-day operational requirements. This category typically consists of Private Equity Funds and Debt funds. • Category III :- funds typically comprised of Hedge Funds that employ diverse or complex trading strategies. By investing in listed or unlisted derivatives, AIF managers try to employ leverage. AIFs provide HNIs opportunities to generate superior returns through customised investments. However, with lower regulatory control and interventions, AIFs carry more risks compared to MFs and othe...
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Arbitrage Funds

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Arbitrage Funds ABOUT Arbitrage fund is a type of mutual fund that leverages the price differential in the cash and derivatives market to generate returns. The returns are dependent on the volatility of the asset. These funds are hybrid in nature as they have the provision of investing a sizeable portion of the portfolio in debt markets. For instance A company’s share might sell at 20 per share today, but perhaps the majority of investors feel the company is primed for a spike next month. In that case, a futures contract with a maturity date one month down the road may be valued much more highly. The difference between the cash and futures price for ABC stock is called the arbitrage profit. Arbitrage funds take advantage of these different prices. They buy stock in the cash market and simultaneously sell a contract for it on the futures market if the market is bullish on the stock. WHY TO INVEST? Arbitrage funds are apt for those investors who are looking to have equity exposure but ar...
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