Indian investors are now showing more interest in global markets to improve their returns, especially in view of the US elections 2024. Wall Street indices like Dow Jones, Nasdaq and S&P 500 have given excellent returns in the last five years.
Indian investors are now showing more interest in global markets to improve their returns, especially in view of the US elections 2024. Wall Street indices such as the Dow Jones, Nasdaq and S&P 500 have given excellent returns in the last five years. Through mutual funds, whether SIP or lump sum investment, Indian investors get a great opportunity to participate in the global markets.
New directive of SEBI
The Securities and Exchange Board of India (SEBI) has recently allowed mutual funds to invest in foreign funds that invest in Indian stocks. The limit for foreign investment has been set at 25% of total assets. The aim of this rule is to make foreign investment simple and transparent.
What should investors do?
Opportunities in Global Markets: Currently 35 out of 68 international funds are open for investment.
Use LRS: Investors can invest up to $250,000 annually in foreign assets under the Liberalised Remittance Scheme (LRS) if they exceed mutual fund limits.
New Options:
The Reserve Bank of India has opened up new avenues for foreign investment through IFSC, giving investors more flexibility and opportunities. Investing in foreign mutual funds is a great way for Indian investors to take advantage of global markets. However, careful planning and guidance is essential before investing.
