Maybe a naive question or my understanding is incorrect, but was just looking on the nse ifsc website [https://www.nseifsc.com/about_us/about_us.htm] that trades can be made in foreign currency and equity can be traded on companies incorporated outside of india. Can indian traders convert their money into foreign currency and trade under this exchange using zerodha, are their any plans for zerodha to be a member under this exchange.
Check this:
1 Like
Nithin, i think limitation is not applicable for the Currency Derivatives product.
One Future contract of EURUSD and GBPUSD is equivalent to 5000Euros & 6250Pounds respectively. I believe this amount is below the applicable limit of LRS for an Indian Resident.
Also, the settlement is being mentioned with reference to EURINR and GBPINR contracts. So, I believe settlement might happen in Indian Rupee too.
Let me know ur thoughts.
Here is the link to the RBI circular on LRS.
All other transactions which are otherwise not permissible under FEMA and those in the nature of remittance for margins or margin calls to overseas exchanges/ overseas counterparty are not allowed under the Scheme.
On international exchanges no leveraged product is allowed for retail Indians to trade. We can trade only that is available on Indian exchanges - NSE, BSE, MCX etc