Trading futures and options in US and Singapore

lonstud

Active Member
#1
I wish to trade futures and options instruments in US and Singapore. Please let me know if this is possible for me as an individual investor and suggest brokers for the same.

If an individual investor is not allowed to trade in these instruments overseas, is it possible to explore this route by forming a private company in India, with the business of trading? Let me know any thoughts on this matter.

I have sent a query to Interactive Brokers regarding the same just now and awaiting their response.
 

bpr

Well-Known Member
#2
I think the answer is yes but Don't touch anything currency future and currency options ...everything else good.

While making wire out of the country I have heard the Indian banks will create hassle and will mislead ....you may have to do some declaration to RBI.
I think there is limit for Indian resident send money out of the country some $125Kor $200K per year for outside investment which is plenty.

While opening account you file as W8BEN status and pay all tax in India and no tax in US.

And I think Company route should definitively work.
Might be a more clean and long term solution.

But if you are serious You should consult an expert.
 

lonstud

Active Member
#3
I think the answer is yes but Don't touch anything currency future and currency options ...everything else good.

While making wire out of the country I have heard the Indian banks will create hassle and will mislead ....you may have to do some declaration to RBI.
I think there is limit for Indian resident send money out of the country some $125Kor $200K per year for outside investment which is plenty.

While opening account you file as W8BEN status and pay all tax in India and no tax in US.

And I think Company route should definitively work.
Might be a more clean and long term solution.

But if you are serious You should consult an expert.
Thank you bpr for responding.

Interactive brokers have responded and they can open a separate account for me to trade overseas. Currency is not an asset class I intend to trade,so safe in that regards. I have asked for further clarifications from IB itself and if there are no issues, I'll continue with them.
 

TracerBullet

Well-Known Member
#5
It seems trading on margin may not be allowed, which might rule out F&O? See here and here ( unanswered question )

RBI allows you to invest, but you cannot trade on any product which might have margin or margin calls (basically any leveraged product like F&O) using this money that you have remitted abroad.
 
#6
Start/Register a Share trading company in India. Then go to singapore and register a wholly owned subsidiary of the Indian company. You can then remit funds to your singapore company via your indian company as capital requirement. Then the singapore company can invest/trade in the local market.
Same can be done in US. Please note that this will involve costs for lawyers/trade licenses/office space etc. If you are well funded this is the easiest way to trade in Singapore/US.
 

lonstud

Active Member
#7
Start/Register a Share trading company in India. Then go to singapore and register a wholly owned subsidiary of the Indian company. You can then remit funds to your singapore company via your indian company as capital requirement. Then the singapore company can invest/trade in the local market.
Same can be done in US. Please note that this will involve costs for lawyers/trade licenses/office space etc. If you are well funded this is the easiest way to trade in Singapore/US.
This sounds more legit but my capital investment is not high enough for undertaking such transaction. I'll consult with my CA about more reasonable ways for me to do this. I'll update if anything fruitful comes out of this.
 

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