NVIDIA News– Page 2 of 12

The US stock market offers Indian investors exposure to the biggest companies in the world, Apple, Tesla, Nvidia, and Amazon, along with a stable regulatory system and a strong currency.Unlike a few years ago, accessing these markets no longer requires complex paperwork or institutional connections. Modern trading platforms and the RBI’s Liberalised Remittance Scheme (LRS) have made it simple to open international accounts and invest legally. How To Invest in US Stocks From India There are 2 ways Indian investors invest in US stocks: Direct Investment via International Brokerage Accounts: Via an international trading account using a registered broker to directly invest in US stocks from India and access global markets with ease. Indirect Investment via Mutual Funds or ETFs: Invest in Indian ETFs or mutual funds that have US indices. How to Actually Invest in the US Stock Market from India There are two direct paths to get started, through an Indian broker with global tie-ups or through a foreign brokerage account. Both methods are legal under the RBI’s Liberalised Remittance Scheme (LRS), but they differ in cost, access, and convenience. 1. Registering a US Stocks Trading Account with an Indian Broker Several Indian brokerage firms, including HDFC Securities, ICICI Direct, and Kotak Securities, offer access to US markets through partnerships with licensed US brokers. This allows investors to manage both Indian and international portfolios on one platform. To get started: Step 1: Open an international trading account with an Indian broker that supports US equities. Step 2: Complete the KYC verification process. Step 3: Fund your account in INR, which the broker will convert to USD under LRS. Step 4: Use the trading interface to buy US-listed shares or ETFs. This route is ideal for investors who value simplicity and local support. However, it may come with higher brokerage fees and currency conversion charges compared to global platforms. 2. Opening an Overseas Trading Account with an International Broker If you prefer a more cost-efficient, globally integrated setup, you can open an account directly with international brokers like Interactive Brokers, Charles Schwab, or TD Ameritrade. Here’s how it works: Step 1: Register with a reputable global brokerage that accepts Indian clients. Step 2: Submit identity verification and bank documents for compliance. Step 3: Transfer funds in USD to your trading account. Step 4: Trade US-listed stocks, ETFs, and ADRs directly on the platform. This method provides wider access to markets, lower trading fees, and advanced research tools. The only trade-off is that it requires you to maintain accounts and compliance records with foreign institutions. 3. Alternative Route – NSE IFSC (GIFT City) Investors seeking a domestic alternative can now trade select US stocks through the NSE International Exchange at GIFT City, Gujarat. The exchange lists blue-chip names such as Apple, Tesla, Amazon, Nvidia, and Netflix, and allows settlement in USD without foreign remittance hassles. While the current list is limited to around eight companies, the NSE plans to expand it to fifty by 2026, making this an efficient way to participate in US markets while staying within Indian jurisdiction. Why You Should Invest in US Stocks in 2025 1. True Global DiversificationUS equities balance the volatility of Indian markets and give access to industries not well represented locally, such as advanced tech, biotech, and AI. 2. Strong Currency HedgeThe rupee has weakened nearly 30% against the US dollar since 2018. Holding dollar-denominated assets can protect your portfolio’s value over time. 3. Exposure to InnovationThe US leads in areas like artificial intelligence, renewable energy, and semiconductor design. Investing in American firms means participating in that innovation cycle. 4. Consistent ReturnsDespite occasional drawdowns, the US market has historically offered steady, inflation-beating returns, supported by robust corporate earnings and global demand. 5. Long-Term Growth: Historically strong performance of US indices like S&P 500. Regulations and Limits for Indian Investors Under the RBI’s Liberalised Remittance Scheme, every Indian resident can invest up to USD 250,000 (approximately ₹2 crore) per financial year in foreign assets, including stocks, ETFs, or mutual funds.This amount can be transferred through authorised banks, and the funds must originate from legitimate income sources. Taxation on US Stock Investments Dividends from US stocks are taxed at 25% in the US. However, India and the US have a Double Taxation Avoidance Agreement (DTAA), allowing you to claim this as a tax credit in India. Capital gains are taxed only in India Long-term (held over 24 months): 20% with indexation benefits. Short-term (less than 24 months): added to your income and taxed as per your slab. Costs Involved in Investing in US Markets Expense TypeIndian BrokerGlobal BrokerBrokerage Fees0.5–1%Flat or per-share modelWire Transfer Fees₹500–₹2,000$20–$40Currency ConversionAround 1%0.5–1%TCS (Tax Collected at Source)**20% on transfers above ₹7 lakh20% Conclusion By investing in US stocks from India, you open your portfolio to global opportunities and industries that drive the world’s economy. The process has never been more accessible, modern platforms, regulatory clarity, and abundant market data make research and execution seamless for Indian investors. Still, international investing carries its own set of risks, from currency fluctuations to higher transaction costs. The key is to weigh these factors carefully and align every move with your long-term goals and risk appetite. As 2025 unfolds, global diversification has shifted from being a niche idea to a practical strategy for building resilient wealth. You don’t need to chase market noise, just stay consistent, invest globally, and let time and innovation work in your favor. FAQs Do I have to pay tax in both India and the US? No. Thanks to the India-US Double Taxation Avoidance Agreement , you can claim credit in India for any tax withheld on US dividends, ensuring you don’t get taxed twice. What are the charges involved in investing in US stocks from India? Expect brokerage fees, currency conversion costs, and wire transfer charges. Indian brokers typically charge 0.5–1% per trade, while international brokers often follow a flat-fee model. How are profits from US stock investments taxed in India? Short-term gains (held under 24 months) are taxed at your regular income-tax slab rate. Long-term gains (held for over two years) attract a 20% tax with indexation benefits.