Types of demat accounts

Written by Upstox Desk

3 min read | Updated on September 26, 2025, 14:20 IST

Table of Contentsarrow close icon
  1. Repatriable stock account

  2. Non-repatriable stock account

  3. NRE vs NRO Accounts

  4. What is PINS account?

  5. What is NON-PINS account?

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Upstox is a leading Indian financial services company that offers online trading and investment services in stocks, commodities, currencies, mutual funds, and more. Founded in 2009 and headquartered in Mumbai, Upstox is backed by prominent investors including Ratan Tata, Tiger Global, and Kalaari Capital. It operates under RKSV Securities and is registered with SEBI, NSE, BSE, and other regulatory bodies, ensuring secure and compliant trading experiences.

We’ve discussed what a demat account is, the procedure to open a demat account and how to start your investments using it. Before you get started though, the smart thing to do would be to know the types of demat accounts you can open - and which one is the right one for you.

Quick recap - A demat account is an online account which holds all your shares, bonds, securities, fixed deposits (FDs), mutual funds and exchange-traded funds (ETFs).

Key Points

  1. If you’re going to be moving your money back to your country, you’ll need a special dematerialized account that allows for such movement.
  2. Non-repatriable funds (which cannot be taken abroad), are deposited in a different type of bank account known as a Non-repatriable account (NRO).
  3. Transactions conducted through a non-PINS account - such as buy and sell of IPOs, FPOs, derivatives and mutual funds - are not reported to the RBI.

Moving on, there are two types of demat accounts you can get for yourself:

  • A repatriable stock account (NRE account),
  • A non-repatriable stock account (NRO account)

Repatriable stock account

Repatriable funds refer to funds that can be transferred abroad. If you’re going to be moving your money back to your country, you’ll need a special dematerialized account that allows for such movement. Repatriable funds are deposited in a separate bank account known as a Non-Resident External Account (NRE account). The investments made using repatriable funds are managed through an NRE stock account.

Non-repatriable stock account

On the other hand, if you hold non-repatriable funds (which cannot be taken abroad), these are deposited in a different type of bank account known as a Non-repatriable account (NRO). To trade or invest in non-repatriable funds, you will need to hold an NRO stock account.

You can easily transfer your money from an NRE to NRO account. However, keep in mind that once the funds are transferred, the repatriability of your funds is lost and thus you will not be able to transfer them back to an NRE account.

NRE vs NRO Accounts

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What is PINS account?

Any Non-Resident Indian (NRI) wanting to trade in Indian stock market with repatriable money will need to operate via a Portfolio Investment Scheme (PINS) account. You can open a PINS account with any designated bank. In PINS account all your investments and transactions are regulated by RBI. NRI who wants to enjoy similar benefits enjoyed by a resident Indian can trade in NRO account without PIS account.

What is NON-PINS account?

Your transactions and investments in Non-PINS account are not reported to RBI. This account allows all the transactions in shares which are not allowed in PINS account. Transactions conducted through a non-PINS account - such as buy and sell of IPOs, FPOs, derivatives and mutual funds - are not reported to the RBI.

Point to remember: As far as investing in mutual funds is concerned, NRIs based in the UK, US, Canada, and other non-FATF (Financial Action Task Force) countries are not allowed to invest in those schemes that include SAARC (South Asian Association for Regional Cooperation) countries.

Wrapping Up

  • You can open a demat account of any of these types with Upstox.
  • For NRI citizens it is very important to hold these accounts to trade in Indian stock market.

About Author

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Upstox Desk

Upstox Desk

Team of expert writers dedicated to providing insightful and comprehensive coverage on stock markets, economic trends, commodities, business developments, and personal finance. With a passion for delivering valuable information, the team strives to keep readers informed about the latest trends and developments in the financial world.

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