Can I invest under my parents name?
Investing in their name If your parents fall in the non-taxable or lower tax bracket, invest in their names by gifting them money. … Senior citizens are allowed tax exemption of up to Rs 50,000 on interest income from saving or FDs in any bank- post office or cooperative.
Can I buy stocks under my parents name?
Parents can purchase stocks for their adult children as well as their minor children. If you purchase stocks for your minor child, you’ll set up a custodial account, which becomes the property of the child even though you can manage the account until the child reaches the age of majority.
Can I invest using my parents account?
Custodial accounts can be opened at financial institutions including banks, investment brokerages, and credit unions. … Parents can’t open an IRA account in a child’s name; a child can open one when they start earning taxable income.
Can I invest in stocks in my mother’s name?
There is no problem, if your mother give her consent that you can transact investment of share trading on behalf of her where demat account should be in the name of her and transaction of investment will run through her bank account as mentioned at the time applying for demat account.
Can I invest on behalf of family member?
The income tax Act allows individuals to make certain transactions in the name of specific family members. Thus an individual can invest and insure through spouse, children and parents to earn higher returns and reduce his/her tax liabilities.
Can I invest in stocks for my child?
How old does my child have to be to buy stocks? To start investing in stocks on their own, your kid will need a brokerage account, and they must be at least 18 years old to open one. They can start earlier than this, but they’ll need a parent or guardian to open a custodial account for them.
Can I buy stocks for a child?
It is relatively simple for parents to purchase stocks for their children. To do so, parents need to set up a custodial brokerage account — often called a UTMA (Uniform Transfers to Minors Act) or UGMA (Uniform Gift to Minors Act) account —for their children or another minor in their care.
Is it legal to invest for family?
You cannot trade securities for others without becoming licensed as an investment professional. Investment professionals must be registered with the Securities and Exchange Commission or have a federal license. There are few exceptions to this rule.
Can I invest for my dad?
Since your dad got a regular income plus interest to take care of his primary need, you can invest it on his behalf anywhere based on his risk profile and investment horizon. You have two options while investing a lumpsum in an equity mutual fund: Systematic Investment Plan or Systematic Transfer Plan.
Can I trade stocks for my dad?
Sure! You just can’t trade in any stock for which you have information (presumably from your Dad) that isn’t available to the general public at the time you make the trade in that stock.
Can I trade in my mother’s name?
Yes you can open an account in your mothers name. … You would have to first transfer funds to your mother’s bank and from there to her trading/demat. NRI’s are allowed to do only equity delivery based trading (no intraday equity, and if you want to trade F&O it has to be through the custodial participant route).
Can I trade on behalf of my parents?
LEGALLY, you cannot.
Can you invest on behalf of someone else?
Yes. You do have to have that person’s permission of course. One way to do it is to get a power of attorney. Then you can basically trade stocks on that person’s behalf.
Can you invest money for friends and family?
If you have friends or family members who want to invest with you, consider creating a limited liability company (LLC) before you start buying any securities. … You can open an LLC on your own or through an online service. Once the LLC is in place, you can open up a brokerage account with it.
Can you trade stocks for a family member?
Stocks can be given to a recipient as a gift whereby the recipient benefits from any gains in the stock’s price. Gifting stock from an existing brokerage account involves an electronic transfer of the shares to the recipients’ brokerage account.