Foreign Equity

Information

Why to invest in Foreign Equity?

Investment in foreign equity includes capital flows from one country to the other and can have the opportunity to invest in largest and most renowned companies in the world. One can invest in the global market and can have the diversified market investment.

Advantages

  • Market Capitalization: The S&P 500 is the biggest stock exchange in the world purely in terms of market capitalization.
  • Dollar Value: The US dollar is one of the strongest currencies in the world rarely fluctuates in value and is a good way to create long term wealth.
  • Diversity: The US markets are one of the most diversified markets in the world.
  • Truly Global: Companies from all over the world are listed in NASDAQ, S&P 500, etc.
  • Innovation: Newer and innovative companies keep emerging on the US soil. You can take part in their growth story by investing wisely.

Convenience & Flexibility

  • Purchase fractional shares of any USA based company with high share price.
  • Seamless user-interface through our investment platform.
  • Mutual Funds help in investing and redeeming in rupee terms in a simple & easy manner.
  • Saves transaction costs and other investment formalities.

Investing through Ashutoshfinserv in structured customised stock portfolios.

Defined Portfolios: The stocks and their weights are pre-determined based on professional research.

Dynamic rebalancing: Time to time rebalancing of the portfolio based on the emerging trends.

Theme based investing: Investing in a particular investment theme. (Example, SAAS-Software As A Service)

Systematic Timely Investing: Investment can be done periodically in a systematic manner just as the STP (Systematic Transfer Plan) route.

SIP (Systematic Investment Plan) route is not a worthwhile option.

Benchmark: Following S & P 500 index as a benchmark for comparison of performance.

 

Investment through three simple steps

Minimum investment amount to start through our platform: Rs.1 lakh

Step 1: KYC procedure– Providing Identity proof, Address proof, Bank details, etc. on the platform.

Step 2: Fund Transfer– Linking bank account and transferring funds offline or online mode –

Step 3: Purchase – Credit of funds in the trading account of the investor and placing purchase order for the stocks.

Taxation

Taxation rates for various incomes for resident Indian in India & U.S.A. from investment in direct stocks & stock portfolios.

Type of IncomeRate of tax in IndiaRate of tax in U.S.A.
Short term capital gains on sale of foreign shares. (When holding period is less than 24 months)Slab rates of income taxNo Tax for non-U.S. tax residents
Long term capital gains on sale of foreign shares (When holding period is more than 24 months) 20% (With indexation benefit)
Dividend from U.S. shares. (As per Double Taxation Avoidance Agreement – DTAA of India with U.S.A.) Slab rates of income tax 25%

Taxation rates for various incomes for resident Indian in India & U.S.A. from investment in foreign equity based mutual funds & ETFs in India.

Type of IncomeRate of tax in IndiaRate of tax in U.S.A.
Short term capital gains on sale of units of mutual fund. (When holding period is less than 36 months)Slab rates of income tax
Long term capital gains on sale of units of mutual fund. (When holding period is more than 36 months) 20% (With indexation benefit) No Tax since there is no income outside India
Dividend from units of mutual fund. Slab rates of income tax