A question,

are you in any way related or work in the Financial industry, then you should also have the disclaimer under your respective post that you work or represent financial industry coz its conflict of interest.

If you represent Financial industry lets talk about solid companies going bust, lets talk of Satyam, one of the major on paper according to any MBA educated financial analyst ....almost going bust.

I represent a normal person and no way related to financial industry, and these are my hard experiences of life.

modified debenture like the one i mentioned is offered to micro finance the trucking industry in south India. I do my research before investing.

No one gives you free money no mutual fund/shares, the financial industry never talks of total service cost involved or long term benchmarking like compounded return on a ten year horizon for real estate vs Fixed deposit vs shares vs mutual fund.

I do not invest in mutual fund coz the ads their salaries and commission is my money, would be a fool to give my hard earned money.

My advise bank the safest but low return and all white,

Debentures a little better return provided u can accept that all will not be on Taxmans radar if you do not disclose

Mutual fund, the same company has a blue chip fund/ commodities fund/ currency fund/ and what not, and u notice one week one goes north second week other, but not all together, and when you want to exit early, heavy penalty, and on a five year or whatever year (closed ended) you bench mark yield against FD you do not see any much difference.

Shares all about TIPS


I try never to take a loan, and do not think much about Financial sector as i am not employed in it and also for the decade of ruin it has pushed on everyone.

Also my golden tip.... i never bank with any private bank in India, only Union Bank Of India...good people to bank with.

Quote:

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Originally posted by ritz3645
A question,

are you in any way related or work in the Financial industry, then you should also have the disclaimer under your respective post that you work or represent financial industry coz its conflict of interest.

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Quote:

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Also my golden tip.... i never bank with any private bank in India, only Union Bank Of India...good people to bank with.

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"Mah deah, there is much more money to be made in the destruction of civilization than in building it up."

-- Rhett Butler in "Gone with the Wind"

I wish i was working with Union Bank...nice government job and benefit, seriously i hate Indian private banks for their nonsense fees, UTI (semi govt) is ok, SBI is for Indian govt retirees (my father).

Just wonderful experience with Union Bank, to me (who only banks with govt banks in India)Union Bank has better employees/ system , my personal experience and i have banked with SunTrust/BOA down in Florida, and now with TD, tried to switch to RBC, and use to bank with Scotia bank (ex)


Indian private bank employ underpaid front end employee, so you already know whats in store, and i never like to go to the manger, for me its in or out

My 2 cents..
Never or ever deposit or invest in private banks/firms in what ever farm. we have witnessed several disasters/collapsess in recent years.
As a layman if the OP wants to settle down with his hard earned money from overseas....the following are the safe and best options.

1>Post office MIS(8%) + SB(2%) which almost yields around 10 to 11%
ex: 25 lacks would be ideal assuming OP's having 4 members...6lacs combination into 4 times..
around 20,000 interest which is tax free can be obtained.

2>Rental property: An apartment or commercial shops which can yield up to 10,000 rent in moderate towns with the investements of 20 to 30Lacs

3>Agricultural income: Buy a land around 10 acres in the range of 20 to 30lacs which can yield up to 1 lac per annum which is almost 9,000 per month..again its tax free.
the agree income can be increased depends on the cash crop that suits u r location..(EX. Eculiptus, Palm, coconut, sarugudu(paper product).

Though the first option might not reflect par with inflation, but the remaing two options will compensate in growth as well as the income.
so my conclusion is aim for 1 lac income by investing 1 crore in the above mentioned ways accordingly.
with 1 lack income, you can even come to canada during summer and keep the status up running for u r future CPP/old age pensions

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MK

Not totally out of context but something that I really want to know:

I am an Indian CA and by virtue of that, I have quite a few CA friends and realtions working and practising in India. One thing I have found is that while they run good practices in India, when it comes to taxation or banking regulations (relating to tax) for NRIs and foreigners, they do not have much knowledge and are never able to provide a clear answer to taxation and repatriation queries.

Does anyone here on the forum know, or can guide me to a professional who knows well the taxation rules for foreigner's investment in India as an individual? I want to invest about 50 lakhs in India in fixed income instruments (I am open to currency risk and readily accept it) and am a Canadian with an OCI status (Wife with a PIO status). Would like to know various options that I might legally have (no hanky panky business - pure and simple legal returns) to be able to invest in Indian currency and repatriation (if later required) rules.

I am wanting to retire in India and am exploring how I can start the process now and still be able to get back the money if ultimately change my mind.

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Chandresh

Advice is free – lessons I charge for!!

Chandresh ,

The little knowledge that I have , NRI s or OCI s can invest in 3-4 categories only wrt repartration ability .

Mutual Funds .
Equity Shares .
Bank Fixed Deposits .
Perhaps Debentures .
2 properties each with repartration possible after 10 yrs .

If you have a close relative who can invest on your behalf and return the proceeds to you back as gift ( again repartrable subject to USD 100K annual limit ) , you could indirectly invest in other avenues as well ... Post Office / Corporate FDR s etc ...

The following link gives complete and concise information . Hope this helps ...

http://siadipp.nic.in/publicat/invpub/readyrec.htm

Pasting below for convenience :

1. AUTOMATIC ROUTE OF RBI WITH REPATRIATION BENEFITS

NRIs/OCBs can invest in shares/convertible debentures of Indian companies under the Automatic Route without obtaining Government or RBI permission except for a few sectors where FIPB/SIA permission is necessary, or where the investment can be made only up to a certain percentage of paid up capital.

For full details of the Automatic Route investors may see the website (http://indmin.nic.in).

2. INVESTMENT WITH GOVERNMENT APPROVAL

Investments not eligible under the Automatic Route, are considered by the Foreign Investment Promotion Board(FIPB) a high Powered inter-ministerial body under the chairmanship of Secretary, Department of Industrial Policy & Promotion, SIA, subject to sectoral limits/norms. These investments also enjoy full repatriation benefits.

3. OTHER INVESTMENTS WITH REPATRIATION BENEFITS

1. INVESTMENT IN DOMESTIC MUTUAL FUNDS

2. INVESTMENT IN BONDS ISSUED BY PUBLIC SECTOR UNDERTAKINS

3. PURCHASE OF SHARES OF PUBLIC SECTOR ENTERPRIESES (by NRIs/PIOs/OCBs)

4. DEPOSITS WITH COMPANIES (FOR A MINIMUM PERIOD OF THREE YEARS)

5. INVESTMENT IN GOVERNMENT SECURITIES/SHARES


5. INVESTMENT UPTO 100% EQUITY WITHOUT REPATRIATION BENEFITS

1.
CAPITAL CONTRIBUTION TO ANY PROPRIETARY OR PARTNERSIP CONCERN
NRIs can invest by way of capital contribution in any proprietary or partnership concern in India provided the firm or the proprietary concern is not engaged in any agricultural/plantation activities or real estate business or Print Media on non-repatriation basis subject to the certain conditions.

2.
NEW ISSUES OF SHARES/DEBENTURES OF INDIANS COMPANIES
NRIs/OCBs as been ranted general permission to subscribe to the shares/convertible debentures of an Indian company on non-repatriation basis, and to an Indian company to issue shares or convertible debentures by way of new/rights/bonus issue to NRIs/OCBs on non-repatriation basis provided that the investee company is not engaged in agricultural/plantation activities or real estate business (excluding real estate development i.e. development of property or construction of houses) or chit fund or is not a Nidhi company.


5. OTHER INVESTMENTS BY NRIs/OCBs WITHOUT REPATRIATION BENEFITS

INVESTMENT IN NON CONVERTIBLE DEBENTURES

MONEY MARKET MUTUAL FUNDS

DEPOSITS WIT COMPANIES

COMMERCIAL PAPERS (OCBs are presently not permitted)

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Fido.

As a Canadian with Indian origin (and now and OCI), do I fall under the category of an NRI? (Please note OCB is corporate body).

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Chandresh

Advice is free – lessons I charge for!!