Can a Power of Attorney holder invest in Mutual Funds on behalf of NRI?

Yes, a Power of Attorney (PoA) holder can invest in Mutual Funds on behalf of the NRI investor. He/she has the authority to sign documents for redemptions, additional purchases, and invest on behalf of the NRIs depending on the kind of PoA executed by the NRI.

There are three types of PoA an NRI can opt for:

1. Special PoA

   Specific PoA is assigned for a specific purpose and has restricted limits. When the purpose completes, the rights and duties of PoA are ceased.

2. General PoA

   General PoA is granted broad powers to make the decision. They can carry out various activities on behalf of the principal without restrictions.

3. Durable PoA

   Durable PoA has more power than the above two types of PoA. They remain valid for a lifetime unless the NRI cancels the rights.