How does NRI know whether a particular company is open for investments by NRI?
RBI notifies a list of companies where the ceiling limit has reached and where no fresh purchases can be made. This list is called ban list. RBI also notifies a list called caution list notifying the names of companies whose NRI holdings has reached 2% below the ceiling limit. Any further purchases are allowed only by obtaining prior approval from RBI. The RBI on first come first serve basis issues such approvals. Customers ban/ caution list can be obtained from the PIS branch.
