A global equity fund is a great option if you wish to invest outside of India and investigate world possibilities. It lets you invest in top worldwide businesses without opening any foreign accounts. For better diversification, growth, and long-term wealth creation, Indian investors are gravitating more and more to these funds. This is a basic guide to enable you to choose and grasp the correct global equity fund.
Explain a Global Equity Fund
A global equity fund is a mutual fund investing in stocks of companies all around.
It could call for businesses from the US, Europe, China, Japan, and other big economies.
Professionals selecting strong-performance worldwide stocks handle these funds.
You make INR investments; the fund handles the conversion of the money.
Why Should One Buy a Global Equity Fund?
- Spreads your portfolio outside Indian markets.
- Less risk should Indian markets underperform.
- Provides access to world leaders including Apple, Google, Amazon, Tesla, etc.
- Helps you gain from patterns in world economy.
- Guards against over time rupee devaluation.
Top Global Equity Fund Prospects for Indian Investors
These are some of the best performing global equity fund options accessible in India:
- Mirae Asset NYSE FANG+ ETF Fund
Invested in top worldwide technology and growth companies.
Consists of stocks including Meta, Netflix, Tesla, and more.
Fit for aggressive investors. - ICICI Prudential Global Stable Equity Fund
Makes low volatility international company investments.
Ideal for conservative investors looking for world exposure. - Global Equity Opportunities Fund PGIM India
Varied portfolio spanning national boundaries and sectors.
Steady performance during the last few years. - Edelweiss US Technology Equity Fund
Targeted at US tech behemoths.
Ideal for exposure to long-term development and creativity stimulation. - Franklin US Opportunities Fund – Franklin India Feeder
Invests in US-based companies with high growth rates.
Under direction from Franklin Templeton’s worldwide team.
Considerations Prior to Making an Investment
Consider these factors before contributing to a global equity fund:
- Rupee to dollar changes in value can influence returns.
- Expense ratio: Slightly more than local funds because of global access.
- Market timing: Global markets also show ups and downs.
- Long term: Ideally keep involved for five plus years.
- Select funds with great worldwide research and experience, the fund manager.
Tax Laws for Indian Global Equity Funds
- Handled for tax purposes as debt funds.
- Short-term (less than three years) taxed according to your income slab.
- Long term—more than three years—20% tax with indexation advantages.
Who Should Make Investments?
- Those seeking worldwide diversification as investors.
- Those wishing to cut their reliance on Indian stocks.
- Young people looking for long-term development.
- Those budgeting for worldwide needs including travel, education, etc.
Concluding Remarks
By investing in the top companies in the world, a global equity fund allows you to increase your financial resources. This is a clever approach to diversify and remain safe from local market hazards. For best results, pick a reputable fund, make consistent investments, and consider long terms.
