# Overseas investing under LRS

Brokers and wealth management platforms use Nivo, Glomo's capital markets suite, to let resident Indian investors buy overseas investments. The investor pays in INR from their own Indian bank account. Glomo sends the money abroad under the Liberalised Remittance Scheme (LRS) of the Reserve Bank of India.

This page explains the use case. The payment itself is a payin. Its objects and integration steps are in [Resident India Remittance under LRS](/payin/resident-india-remittance-under-lrs).

LRS access is enabled per business. Contact Glomo support to set it up.

## Who is involved

| Role  | What it means on Glomo  |
|  --- | --- |
| Broker | Your business. You own the investor relationship and create the orders. |
| Investor | An individual who lives in India. LRS is open only to resident individuals. On Glomo the investor is a [customer](/api-reference/openapi/customer/createcustomer). |
| Investor's bank | The Indian bank the investor pays from. The investor approves the remittance with their bank during checkout. |


## What the money can be used for

Every LRS order carries a purpose code. Glomo accepts two:

| Purpose code  | Use  |
|  --- | --- |
| `S0001` | Investment in overseas equity. Used when the order has no purpose code. |
| `S0002` | Investment in overseas debt securities. |


Any other purpose code is refused with a `400`.

## How an investment runs

1. **Create the customer.** Do this once per investor. Reuse the `customer_id` on later investments.
2. **Get the investor's bank account.** Send it in the order, or leave it out and checkout collects it.
3. **Create a quote.** The quote fixes the exchange rate, fees and taxes until it expires.
4. **Create the order.** It names the quote and the purpose code.
5. **The investor pays.** Checkout confirms the bank account and takes their consent. The investor then approves the remittance with their bank.
6. **Confirm the payment.** Use webhooks, the payment API or the dashboard.


Steps 1 to 6 are covered in [Collect LRS remittances from India](/payin/resident-india-remittance-under-lrs/set-up).

To send money back to the investor, see [Withdraw an LRS remittance back to the investor](/payin/resident-india-remittance-under-lrs/set-up/withdrawal-flow-guide).

## Brokers and mutual funds

LRS appears in two places in Nivo. For a broker, the LRS remittance is the whole integration. For a mutual fund, it is one step of the journey. They are different integrations.

| Question  | Broker  | Mutual fund  |
|  --- | --- | --- |
| Who starts it | You create an LRS order. | The fund or a distributor opens a payment session. |
| Who runs the journey | Your app. Glomo runs only the payment. | Glomo runs it all: identity, KYC, payment and folio. |
| Where LRS fits | It is the whole integration. | It is the payment step for a resident Indian investor. |
| Start here | This page. | [Introduction to Nivo](/capital-markets). |