Where to
Invest

Key
Indicators

Name LTP Change Change%
Crude Oil 72.16 0.70 0.98
Gold 1,794.50 5.27 0.29
Brent Crude 76.99 0.84 1.10
DXY 104.53 -0.24 -0.23
US 10Y 3.460 -0.03 -0.03
Name LTP Change(Chg%)
Crude Oil 72.16 0.70(0.98%)
Gold 1,794.50 5.27(0.29%)
Brent Crude 76.99 0.84(1.10%)
DXY 104.53 -0.24(-0.23%)
US 10Y 3.460 -0.03(-0.03%)

Investing
Guide

What Are Funds Of Funds And How Do They Invest In Foreign-Listed Stocks And ETFs? | Investing Abroad

What Are Funds Of Funds And How Do They Invest In Foreign-Listed Stocks And ETFs? | Investin...

While Fund of Funds are also mutual fund schemes, there are differences. Here is what you should know. A FoF can invest in units of ETFs, index funds or even other mutual funds investing in securities that are listed overseas. To know more about the fee structure, tax implications and how to...

What wealth advisors
Recommend

Your Full Guide To Investing Abroad | Expert’s take | Foreign Investment

Your Full Guide To Investing Abroad | Expert’s take | Foreign Investment

Why does one typically invest abroad? What are the big pluses of expanding your horizons and investing your money in foreign market? What are the basics and checklist to keep your m...

ETFs, MFs, listed equities: Options galore when it comes to investing overseas

ETFs, MFs, listed equities: Options galore when it comes to investing overseas

Investors should have a dynamic asset allocation system and should be nimble footed to make adjustments according to changing market conditions

Everything you want to KNOW TO GET
started

What can I buy on stock exchanges overseas?

Developed markets such as the US offer access to emerging technologies in various industries. You can buy shares of companies in businesses that may not be available in India such as search engines, semiconductors, electronic gadgets, and precious metal miners.

Isn't it very expensive to buy shares in dollars?

You can buy fractions of shares listed overseas. This makes even high-priced shares accessible. You can also buy units of mutual funds that offer exposure to specific themes or geographies. Many emerging themes that offer high growth potential can be tapped through low-cost exchange-traded funds (ETF), both of which are available with mutual fund houses in India.

I want to invest overseas, but do not know what to buy. What are my alternatives?

Platforms offering overseas investments provide basic information - financials, and statutory filings by the company, among others - free of cost. You can study them and make an informed decision before buying shares.
However, if you do not have the time or skill to pick stocks, you can invest through the mutual fund route. Indian mutual fund houses offer schemes that invest in shares listed overseas or buy units of mutual funds overseas.
You can alternatively invest in units of ETFs listed on foreign stock exchanges, if the underlying index or theme you are looking at is not available in India. You can also consult an investment advisor for a customised portfolio of stocks and mutual funds overseas.

How much money can I invest overseas?

An Indian resident can invest up to $250,000 overseas in a financial year under the Liberalised Remittance Scheme (LRS). Investments made in Indian mutual fund schemes that invest overseas are not included while computing remittances under LRS.
Though there is no minimum investment amount while investing overseas, there can be specific requirements as dictated by the broker you trade through. Also, product-specific requirements cannot be ignored. For example, if you are investing in units of an international scheme of an Indian mutual fund house, then the minimum investment amount of about Rs 5,000 would apply in most cases. Also, in case of units of ETF, you would need to buy a minimum of one unit.

What is a Non-Resident Ordinary Rupee (NRO) account?

An NRO account is a savings or fixed deposit account held by non-resident Indians in India to manage rupee income from sources like rent, dividend, or profit from the sale of property or investments in India. Both non-resident and resident Indians can be joint account holders.
The account allows you to receive income from foreign currency converted to Indian rupees and in Indian rupees. The money lies in Indian rupees in an NRO account. You can link your NRO account to make investments in India.
There are certain drawbacks to holding NRO accounts. The interest you earn in the NRO account is subject to tax deducted at source (TDS).

What is a Non-Resident External (NRE) account?

An NRE account is a rupee-denominated account that can be opened by an NRI. It could be savings, Foreign Currency Non-Resident Account (FCNR) or a fixed deposit account.
An NRE account comes with many benefits. The most important benefit is that the principal and interest income are fully repatriable, which means you can move it out of India as per your will. The interest income on deposits earned in an NRE account is tax-free. You can also link your NRE account to make investments in India. The foreign currency deposited in an NRE account gets converted into Indian rupees.

As an NRI, can I transfer funds from my NRO account to NRE account?

The ideal way to remit funds is through an NRE account, which is fully repatriable. Yes, you can also transfer money from your NRO account to NRE account. There are multiple reasons to transfer money to an NRE account. You might need to transfer your income in Indian currency and withdraw to make investments and meet other expenses in your preferred currency abroad. You might want to keep an NRO account only for collecting the Indian income and manage all investments in an NRE account that allows you the flexibility of full repatriation when you need the funds. You need to submit the request along with Form 15CA/CB, which is a chartered accountant's certificate. The $1 million per year limit applies for NRO to NRE transfers, too.

What are the tax implications on returns/income generated by my investments abroad?

Resident and ordinarily resident Indians have to pay tax on income earned through foreign assets that they own in other countries. This includes gains made on the sale of such assets.
While assets held for more than 24 months attract a long-term capital gains tax of 20 percent, short-term assets (held for less than 24 months) will be taxed at the slab rates applicable to you.
You have to report your foreign assets in your income tax return (ITR) form (Schedule FA). The tax department requires such taxpayers to furnish details like the country where these assets are held, income generated by the assets, nature of ownership, and so on.
You also have to report foreign assets in the ITR form's Assets and Liabilities Schedule if your income for the financial year is over Rs 50 lakh, failing which you might have to cough up penalties.

TOP US COMPANIES BY
Market Cap

As on Dec 09, 02:29 IST
Name   Price Market Cap
(in billion US $)
AAPL Apple 142.68 2,269.77
MSFT Microsoft 247.47 1,844.76
UNH UnitedHealth 547.58 511.63
JNJ J&J 177.18 463.23
V Visa 209.10 432.59
Name
Price
Change
AAPL Apple 142.68
2,269.77(1.74)
MSFT Microsoft 247.47
1,844.76(3.10)
UNH UnitedHealth 547.58
511.63(4.67)
JNJ J&J 177.18
463.23(0.01)
V Visa 209.10
432.59(1.29)

INVEST IN FOREIGN MARKET THROUGH
Mutual funds

Fund AUM $ 1 Y 3 Y 5 Y Exp. Ratio
Franklin India Feeder - Franklin U.S. Opportunities Fund - Growth 2939.47 -31.02% 7.95% 11.76% 1.55
ICICI Prudential US Bluechip Equity Fund - Growth 2370.11 -6.02% 11.76% 14.11% 2.22
ICICI Prudential NASDAQ 100 Index Fund - Direct Plan - Growth 354.36 -23.44% 0% 0% 0.5
IDFC US Equity Fund of Fund - Direct Plan - Growth 323.62 -15.9% 0% 0% 0.45
Nippon India US Equity Opportunities Fund - Growth 524.02 -18.71% 7.67% 11.69% 2.42
Franklin India Feeder - Franklin U.S. Opportunities Fund - Growth
AUM (Crs)2939.47 Exp. Ratio1.55
1Y-31.02% 3Y7.95% 5Y11.76%
ICICI Prudential US Bluechip Equity Fund - Growth
AUM (Crs)2370.11 Exp. Ratio2.22
1Y-6.02% 3Y11.76% 5Y14.11%
ICICI Prudential NASDAQ 100 Index Fund - Direct Plan - Growth
AUM (Crs)354.36 Exp. Ratio0.5
1Y-23.44% 3Y0% 5Y0%
IDFC US Equity Fund of Fund - Direct Plan - Growth
AUM (Crs)323.62 Exp. Ratio0.45
1Y-15.9% 3Y0% 5Y0%
Nippon India US Equity Opportunities Fund - Growth
AUM (Crs)524.02 Exp. Ratio2.42
1Y-18.71% 3Y7.67% 5Y11.69%

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Moneycontrol is not liable for any loss or damage of any kind arising out of investments outside India.