Want To Trade F&O in USA markets?


#1

Hello @nithin @Karthik

I am a F&O Trader…
Specially Love Trading in Options…

i buy next month options many times … but in many stocks i faced liquidity issue…
even in some of them… NO buyer or Seller available at 5-6% above strike price to cmp …

I checked… USA
and there i found that they have good liquidity in options. even for contract which will expire next year…

Studied about that…on google…
found
it is bczz USA Markets are developed markets…

i contacted some Indian brokers who provide overseas trading account like smc global ( tie up with SAXO Bank ) … but they dont allow to take leverage positions…

I Read RBI Restrictions also… which don’t allow individual to invest money in leveraged products…

So, My Main Question is **
** Is there any way to trade in USA Markets in F&O…

** if not by individual account… **
** can it be possible through ltd company… or LLP OR Partnership firm**

I heared about some Dubai route also… by opening a firm there…
if you know about that… can you explain it in details…

and In Last according to you…
What is Best way to trade in Options in USA Markets
and How Much It Cost me ?

Thnaxx

Regards
Shivam


Trading in US Derivatives market from India
#2

Trading using your money internationally in leveraged products would be FEMA violation individual or otherwise. Work around is you setup a business outside India and that in turn trades. But that again is a violation if you are sending money from India. Maybe if you have a NRI friend/relative living/earning in the US, you can trade on his account. Send money to him.


#3

I am aware that person based in India cannot remit funds in overseas account for margin/leveraged product. (courtesy: liberalized remittance scheme (LRS)”

However,
What if funds are not remitted from India?
E.g. An individual working is US has been doing options trading in US. When he moved to India, He already had funds from his US earnings. He continued to trade on same & never remit funds from India to US.
That should not fall under purview of “liberalized remittance scheme (LRS)”

Could Anyone, Zerodha or Nitin Kamath please share your opinion?


#4

Why this sudden spurt of interest in trading foreign markets ? I am curious to know the reasons for this.
Has SEBI already succeeded in killing liquidity in Indian markets ?


#5

Is it true that in US markets the margin for hedged position is very less as compared to Indian market.


#6

Yes, there was one thread here which showed one example. Please search for it.
12K in USA vs 1.5L in India approx.