Kochi, June 5 Geojit BNP Paribas Financial Services and State Bank of India inked an agreement to extend Portfolio Investment Services (PIS) to non-resident Indian (NRI) customers, mainly from the Middle East region.
NRIs would be able to use the PIS account to trade in shares and convertible debentures through stock exchanges, and the investments would have both options of being repatriable or non-repatriable.
C.J. George, managing director of Geojit BNP Paribas said the partnership between SBI and Geojit BNP Paribas for PIS would help NRIs look beyond bank deposits and traditional investments in physical assets.
“At a time when the Indian rupee has depreciated and valuations are relatively inexpensive, this service from Geojit BNP Paribas and SBI will be of immense use to NRIs to grow their wealth through the Indian stock market,” said George.
The Kochi headquartered Geojit BNP Paribas Financial Services is a leading retail stock broker in India, with a strong presence in the Middle East.
The new arrangement allows NRIs to visit any SBI branch in the Middle East to open a non-resident external (NRE) PIS account for repatriable investments, and a non-resident ordinary (NRO) PIS for non-repatriable investments, so as to commence investing in the stock market.
NRIs who wish to trade can thereafter open a trading and depository participant (DP) account with Geojit BNP Paribas Financial Services through the offices of the joint venture in the Middle East at Dubai, Abu Dhabi, Sharjah, Ras al-Khaimah, Al Ain, Riyadh, Muscat, Damam and Jeddah.
V. Murali, deputy managing director of SBI said that with their wide network of branches across India, and Geojit BNP Paribas, with a presence across the Middle East, would form an ideal combination in extending the portfolio investment scheme to NRI customers.