You can Trade International Futures from India..Legally...Read How

[ag_fx]

I guess I am gonna wait until Sunday to post my findings.

Infact today also I had a chat with an Alpari senior level guy on the Margin issue and he pretty much confirmed my findings.

Meanwhile, some food for thought :

http://www.rbi.org.in/SCRIPTS/BS_FemaNotifications.aspx?Id=155

Read it carefully

:thumb:

 

[AW10]

I chked the link and also checked some more pages on FEMA, capital and current account etc. Could digest only part of it..

Just getting a feel that CA will be the person who are dealing with such issues in details so if i have to solve this issue then I will catchhold of some good CA who has exprience, specially -ive experience in this field. Not sure if there are special lawyers dealing in FEMA issues, other wise, I will also contact them.

But before I go anywhere, probably I would start my investigation from the main source, i.e. RBI.

I will discount the info given by brokers/banks cause they have their own interests and constraints.

Thanks Ankit, you are making this topic lot more interesting for me.

Happy Trading

 

[ag_fx]

I chked the link and also checked some more pages on FEMA, capital and current account etc. Could digest only part of it..

Just getting a feel that CA will be the person who are dealing with such issues in details so if i have to solve this issue then I will catchhold of some good CA who has exprience, specially -ive experience in this field. Not sure if there are special lawyers dealing in FEMA issues, other wise, I will also contact them.

But before I go anywhere, probably I would start my investigation from the main source, i.e. RBI.

I will discount the info given by brokers/banks cause they have their own interests and constraints.

Thanks Ankit, you are making this topic lot more interesting for me.

Happy Trading

IMHO, CAs in INDIA know a damn about the whole issue. They are pretty much least bothered. Coming to lawyers, even they are limited in their knowledge. The problem lies with the understanding of the futures industry and terms related to the industry.

Unlike US,UK we do not have bodies like CFTC,NFA or FSA here in India. And thus it is really difficult to find a combination of attorney/lawyer/CA + Futures professional here.

I would also like to comment that brokers/banks are not really that bad of sources. Of course, if you get to the right source, then.

Anyways, any findings of you would be welcomed here.

Best
Ankit

 

[terminator_123]

I guess I am gonna wait until Sunday to post my findings.

Infact today also I had a chat with an Alpari senior level guy on the Margin issue and he pretty much confirmed my findings.

Meanwhile, some food for thought :

http://www.rbi.org.in/SCRIPTS/BS_FemaNotifications.aspx?Id=155

Read it carefully

:thumb:

Ankit,
Is this the line ? If it is, then why is it not mentioned in A2 form used for wire transfer ? Is this fema thingy new ?
"k) Sale and purchase of foreign exchange derivatives in India and abroad and commodity derivatives abroad by a person resident in India. "

 

[ag_fx]

Ankit,
Is this the line ? If it is, then why is it not mentioned in A2 form used for wire transfer ? Is this fema thingy new ?
"k) Sale and purchase of foreign exchange derivatives in India and abroad and commodity derivatives abroad by a person resident in India. "

This is just one of the things I wanted to draw your attention to. There is more to follow

 

[pasha]

Yup, "k" and "a" pretty much seem to cover it all.

 

[pasha]

Check this out
http://www.interactivebrokers.co.in/en/general/education/highlights.php?p=a

 

[Mangafreakz]

Maintenance of foreign currency accounts in India and outside India by a person resident in India
Sale and purchase of foreign exchange derivatives in India and abroad and commodity derivatives abroad by a person resident in India.
:thumb:

 

[ag_fx]

Check this out
http://www.interactivebrokers.co.in/en/general/education/highlights.php?p=a

Maintenance of foreign currency accounts in India and outside India by a person resident in India
Sale and purchase of foreign exchange derivatives in India and abroad and commodity derivatives abroad by a person resident in India.
:thumb:

Now you are kicking your A** and working on it...Well done...:thumb::clapping:

keep digging and you might reach same conclusions as mine soon. All we need is effort :clapping:

 

[pasha]

Even more interesting
http://www.interactivebrokers.co.in/en/trading/tradingConfiguration.php?ib_entity=in

You must have enough cash in the account to cover the cost of the stock plus commissions. No shorting of stock is allowed. Cash from the sale of stocks becomes available 3 business days after the trade date. When authorizing market, relative and VWAP orders, a 5% cash cushion is required to compensate for market movements. Existing cash account holders can upgrade to a multi-currency cash account through Account Management.

Full payment must be made for all call and put purchases. Covered call writing is allowed, but the underlying stock must be available and is then restricted. Naked put writing is also allowed, but the funds must be available and then are restricted. You must have stock cash trading permissions in order to have options cash trading permissions. Cash from the sale of options becomes available 1 business day after the trade date.

Purchase and sale of broad based equity index, fixed income and commodity futures contracts on margin. Margin is determined on a real-time basis with immediate position liquidation if the minimum margin requirement is not met. Only cash may be used to meet variation margin requirements. Special 50% of variation margin benefits are made available during the day on some futures exchanges.