Wisdom Capital NRI Account Review

Wisdom Capital is an online discount broker in India. The broker offers trading and Demat account services to residents as well as NRIs. Wisdom Capital is an online brand of Ashlar Securities. The company is registered under FATCA of the USA and allows US-based NRIs to trade and invest in the Indian stock market.

The broker offers investment advisory services to its customers and helps them make informed trading decisions backed by technical and fundamental analysis. For expert investors, it has a Live Wisdom Data platform where they can research stocks and pick companies with high growth potential.

Wisdom Capital offers online trading platforms to trade and invest across equity delivery, mutual funds and derivatives segments. It doesn't offer trading services in IPOs, NCDs and OFS segments.

Wisdom Capital's Trading School offers trading and investment courses to new investors. The course helps them get familiar with various aspects of stock market investing and in the sharpening of trading skills.

Wisdom Capital NRI Account

Before opening an NRI account with Wisdom Capital, an NRI needs the following:

1. PAN Card

A PAN Card is mandatory to trade and invest in India. If you already have a PAN Number as resident Indian, you do not need a new PAN card. It is the same for NRIs and Resident Indians. The PAN Card can be obtained by filling up Form 49AA online through the websites of UTIITSL and NSDL.

2. NRI Bank Account

Wisdom Capital doesn't offer banking services that means NRIs cannot open the NRI Savings Bank account and PIS account with the broker. The investors have to open NRE and NRO bank accounts with 3rd party banks. Wisdom Capital allows NRI bank accounts with any bank. You can link your existing NRI bank account (with a designated Indian bank) to Wisdom Capital NRI trading and Demat account.

After opening the NRI Bank account, NRIs have to request for PIS permission with the help of a bank. PIS account is necessary to trade and invest in Indian stocks.

3. Custodial Account

Globe Capital Market Ltd works as a clearing member for the trades placed from Wisdom Capital platform. NRIs have to open a custodial account (and get a CP Code) before opening the NRI Wisdom Capital trading and Demat account.

Once the above 3 accounts are established, an NRI can open Wisdom Capital 2-in-1 accounts. This account includes a trading and Demat account.

4. Wisdom Capital NRI Trading Account

Trading account is necessary to place buy or sell requests in Indian stock exchanges. Wisdom Capital broker offers an online trading platform to fulfill the trading needs of the NRIs.

5. Wisdom Capital NRI Demat Account

NRI Demat Account is used to hold the securities in electronic format. In India, a Demat account is mandatory to safeguard the securities. Although, you can easily access the securities anytime.

Wisdom Capital offers both the NRE and NRO Demat account for NRIs. All the transactions under the NRE PIS Account are reported to RBI.

Wisdom Capital NRI Trade Process

Wisdom Capital offers a faster and convenient trading experience through its online trading platforms. Once you complete the account opening process, you can start investing in equity delivery segment by following the below process:

1. Transfer Funds

Transfer funds in the NRI PIS Bank Account which is linked to your NRI trading account. Once funds are available, the bank informs the broker about this who increases the trading limit of your account.

2. Place a Buy or Sell Order

Login to the NRI trading platform offered by the broker. Place a buy or sell request through the platform. The system will check the availability of the funds and shares in case of buy and sell request, respectively. If everything is correct, the order is executed on the stock exchange.

3. Account Debit or Credit

Depending on the buy or sell order, the respective account is debited or credited. When it is a buy order, the NRI bank account is debited with money and the Demat account is credited with shares. Opposite of it happens, when it is a sell order.

4. Report to RBI

All the transactions in equity delivery segments are reported to RBI. At the end of the day, the broker sends a separate buy and sell contract note to the bank. And, the bank further informs RBI regarding the transactions.

Wisdom Capital NRI Trading Software Review

1. Tradeeye (mobile app)

Trade Eye is a smartphone application that facilitates anytime, anywhere trading in Indian stock markets. It provides a range of features like the market watch, charting, order book, trade book, net position, & funds view, etc.

2. NEST Trader (by Omnesys)

Wisdom capital also offers NEST Trader for free to all the customers. The NEST Trade is an installable trading terminal to trade at BSE, NSE, and MCX.

Wisdom Capital NRI Account Opening Process

Wisdom Capital NRI account opening process is quite simple. Below are the steps to open NRI account with Wisdom Capital.

How to Open Wisdom Capital NRI Trading Account?

If you are in India, you can open an NRI Bank account with any of the designated banks. After opening an NRI SB account, you will need to request for PIS permission. The custodian account is also mandatory if you want to invest in the equity derivatives segment. So, after opening the NRI SB account, PIS account and custodial account, you can follow the below process for account opening with Wisdom Capital.

1. Visit the broker's branch to open NRI Trading and Demat account with Wisdom Capital, if you are in India.
2. If you are not in India, download the application form from the download section.
3. Fill the application form with the personal and banking details.
4. Attach the self-attested copies of the documents.
5. Send the form along with the documents to the broker's office.
6. After receiving the form, the broker will arrange an IPV (In-Person Verification) with a representative.
7. If IPV is not feasible, the verification completed with the Indian Embassy or any competent authority such as Consulate General/ Local Banker/ Judge/ Any court of law/ Notary Public/ Magistrate of the residing country will be considered sufficient for opening the account.

Wisdom Capital NRI Documents

Below is the list of documents, an NRI has to attach along with the application form:

• Copy of Passport
• Personalized cheque (cheque leaf along with Bank Statement or Bank Passbook)
• Copy of Visa (If Passport is issued in India or work permit of UAE)
• PIS permission letter

You can provide the combination of any documents mentioned below as a proof of address, identity, and bank account:

• Electricity bill and Telephone bill (Cannot be older than 2 months)
• Driving license
• Bank Passbook/ Bank Statement
• Leave and License Agreement
• Banker's confirmation (from a Scheduled commercial bank only)

Note:

• NRIs cannot invest in equity intraday, currency and commodity segment.
• Non-repatriable and repatriable transactions are separately made from NRO and NRE accounts, respectively.
• After receiving the application and documents correctly, it takes 3 to 5 working days to open an account with Wisdom Capital.
• Mapping NRI bank account with trading and Demat account is necessary for funds transfer.

Wisdom Capital NRI Mutual Fund

Wisdom Capital offers mutual fund services to NRI investors.

Highlights of Wisdom Capital NRI Mutual Fund

• KYC verification is an important step to start investing in mutual funds.
• KYC is a one time process. Changing the mutual fund schemes doesn't require the KYC again.
• Money from the linked NRI bank account is automatically credited and debited while buying and selling mutual fund units.
• Monitor and analyze the performance of the mutual fund online.
• PIS permission is not required to invest in mutual funds.

Wisdom Capital NRI Trading Account Advantages

• Wisdom Capital brokerage is lower than the full-service brokers.
• Offers expert investment advisory services.
• Dedicated online Live Support.
• Wisdom Capital Trading School course for the investors to understand stock market concepts and trading.
• NRIs are allowed to open the NRI bank account with any bank and link it with Wisdom Capital NRI trading and Demat account.
• Omnesys NEST is offered as the trading platform.

Wisdom Capital NRI Trading Account Disadvantages

• Doesn't offer the facility to invest in IPOs and NCDs.
• Doesn't offer a 3-in-1 NRI trading account. NRIs have to open a bank account with 3rd party.

Conclusion

Wisdom Capital is an online broker with very little investment in technology. This makes it difficult for Wisdom Capital to compete with other discount stock brokers including Zerodha, 5Paisa, Upstox, and ProStocks, etc. Except for investment advisory and trading courses, Wisdom doesn't have any unique selling point.

Frequently Asked Questions

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Information on this page was last updated on Monday, May 16, 2022