Invest in Global Stocks - Why & How?

Experts advise never to place all eggs in the same basket. The saying goes well for the investments in the same geographic location or industry or market or economy.

Diversify investment portfolio beyond territory with investments in Global assets.  

Portfolio Stability

There’s a common belief that Indian markets follow global cues means if there is a fall in the S&P 500 then in the next trading session even NIFTY will decline. But the data from earlier periods, tells a different story. There are multiple instances wherein both the indexes are trading in opposite directions. Here comes the importance of diversification, to achieve portfolio stability.

Little Correlation in movement of any two markets

We all have already invested in various Indian stocks like TATA Steel, Reliance, HDFC and L&T. But what would happen to those stocks when Indian stock market collapsed for whatever reason for example

• Due to political instability
• Due to a newly formed Government with a coalition of various parties.
• Natural disasters like Tsunami, earthquakes
• Civil Disorders

This will solely impact the specific country(s) / markets / economy.

To avoid any sharp fall in the portfolio we need to diversify it across different markets. When we spread out the investments across geographies, there is a low correlation between them. This means that the volatility in one market is likely not to affect stocks of other markets.

Vast Opportunity

Secondly, Global investment enables us to access investment opportunities that are not present domestically. You may even choose an industry to invest in a particular country, which is likely to boom. For Eg.

• Energy Sector
• Innovative Technology Company
• Aviation Manufacturing
• Defence Manufacturers
• Lithium Ores

Foreign Exchange Fluctuation Gain

By investing in Global Stock you shall not only gain on stock price appreciation but also on rupee depreciation against the dollar. Suppose you have purchased the shares for $10 when the value of $1 was Rs. 62, but when the shares are sold the value of the shares was $15 and the value of $1 was Rs. 73. Now you will earn $5 per share along with Rs. 11 per dollar. So, the gains you make due to fluctuation in currency value is known as foreign exchange fluctuation gain.

Invest in Favourite Brand

Now, we can invest in our favourite brands like Microsoft, Tesla, Apple, Walt Disney and more than 30,000 entities, Mutual Funds, Bonds and invest using the thematic Portfolio Management Schemes.

How to Invest

India INX Global Access IFSC Limited (IndiaINXGA), a wholly-owned subsidiary of BSE Limited is facilitating trading from 135 global stock markets. NYSE, Nasdaq, Tokyo Stock Exchange, Toronto Stock Exchange are a few names. 

INX Global Access is a pioneering venture – the first of its kind from India, located at Gujrat International Finance Tech-city (GIFT) IFSC (International Financial Services Centre), to offer access to international exchanges and global markets for India based investors under LRS (Liberalised Remittance Scheme by RBI). Global Access provides a single-window interface for trading on global markets, managing clearing and settlements as well as custodian services to its members & their clients and IFSC members and other entities in IFSC. This eliminates the need for investors to register separately on each global exchange, thereby decreasing the overall costs of accessing global markets from GIFT IFSC.

Abhipra, a member India INX Global Access, is facilitating investors to invest globally.

How to open Account

Investors may open account for Global Stock investment online in the paperless process as described below, from the convenience of your home/office.

Be ready with following documents in JPG / PNG / PDF format:

• PAN Card
• Aadhar Card / Passport / Driving Licence
• Passport size photograph

Follow the steps

• Click on the link https://bit.ly/3t3fs3b
• Enter email address, preferred username and password.
• Get email verified
• Again Login and fill out the form
• Upload documents.

The account will be active within 24 hours and enable the investor to remit the funds for investment.

In case of any query investor may contact @9818801058 or write at [email protected]