Investing in foreign stocks enables Indian investors to invest in some of the most valuable and globally renowned companies from technology businesses such as Microsoft, Apple, Google, Tesla, Amazon, Alibaba and Netflix to conventional businesses such as Samsung, SaudiAramco, Visa, LVMH and Tencent Holdings.
Investing in foreign stocks from India is permissible and reasonable allocation can be made towards such stocks to diversify your portfolio. Under the Liberalized Remittance Scheme (LRS) of the Reserve Bank of India (RBI), resident Indians are permitted to remit up to $250,000 per financial year for portfolio investments and other permissible transactions.
Moreover, the availability of extensive information and high governance standards of these companies and the stock exchanges provide better understanding of the investments made by you.
If you are looking to invest in globally listed stocks, here’s how you can go about it.