NRI · 4 min read
Can NRIs Invest
in PMS and AIFs?
Yes, with higher minimums, more paperwork and the same country restrictions that apply to mutual funds.
Ravinder Pal Singh Ubeja ·
NRIs can invest in PMS from ₹50 lakh and in most AIFs from ₹1 crore, through repatriable or non-repatriable routes. The setup takes longer than a mutual fund, and providers vary in which countries they accept.
Portfolio Management Services
- Minimum investment of ₹50 lakh, set by SEBI.
- Shares are held in your own demat account, so you need an NRI demat and bank setup, usually with a PIS-enabled NRE account for repatriable investments, or an NRO route.
- Some PMS providers do not accept investors from the US or Canada.
Alternative Investment Funds
- Minimum investment of ₹1 crore for most AIFs.
- Category I and II funds (private equity, venture capital, private credit) usually lock in money for several years. Category III funds run long-short and other trading strategies.
- Tax differs by category: Category I and II income is generally taxed in the investor's hands, while Category III funds are taxed at the fund level.
Before you commit
Both carry higher risk and lower liquidity than mutual funds, and costs vary widely between managers. They make sense only once your core portfolio is in place. We help NRIs compare managers, complete onboarding from abroad and keep the paperwork in order.