🌎 How Indian Investors Can Trade in the US Stock Market

Kokila Chokkanathan
With globalization and easier access to international markets, Indian investors can now invest in American companies like Apple, Tesla, Amazon, and Google. Here’s how:

🔹 1. Understand the Regulatory Framework

· Under RBI’s Liberalized Remittance Scheme (LRS), indian residents can remit up to $250,000 per year for investments abroad, including stocks

· Investment in US shares is fully legal if done through authorized channels

🔹 2. Choose a Platform to Invest

Indian investors can buy US shares via:

1. Indian Brokers with US Stock Access – e.g., Zerodha, ICICI Direct, hdfc Securities, Kotak Securities

2. Global Investment Platforms – e.g., Interactive Brokers, TD Ameritrade, Charles Schwab, and others

3. Robo-Advisors & App-Based Platforms – Simplify investing in US ETFs and fractional shares

🔹 3. Open an Account

· Complete KYC (Know Your Customer) with your broker

· Provide PAN card, Aadhaar, and bank details

· Link your indian bank account for currency conversion and fund transfer

🔹 4. Fund Your Account

· Transfer funds in USD through authorized forex channels

· Your broker or platform handles conversion from INR to USD

· Ensure remittance stays within the $250,000 annual limit

🔹 5. Research and Choose Stocks

· Study company fundamentals, financial statements, and market trends

· Diversify across tech, pharma, consumer goods, and ETFs

· Use demo accounts or virtual trading if you are a beginner

🔹 6. Place Orders

· You can buy or sell shares in real-time during US market hours

· Orders can be market orders, limit orders, or stop-loss orders

· Fractional shares allow you to invest even if a stock costs hundreds or thousands of dollars

🔹 7. Monitor and Rebalance

· Keep track of your portfolio’s performance and global market trends

· Pay attention to exchange rate fluctuations between INR and USD

· Rebalance your portfolio periodically for risk management

🔹 Pro Tip

Start small if you’re new to international investing. Consider ETFs (Exchange-Traded Funds) to invest in a basket of US stocks with lower risk before buying individual shares.

 

Disclaimer:

The views and opinions expressed in this article are those of the author and do not necessarily reflect the official policy or position of any agency, organization, employer, or company. All information provided is for general informational purposes only. While every effort has been made to ensure accuracy, we make no representations or warranties of any kind, express or implied, about the completeness, reliability, or suitability of the information contained herein. Readers are advised to verify facts and seek professional advice where necessary. Any reliance placed on such information is strictly at the reader’s own risk.

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