In the past 5 years, International mutual funds have become popular among retail investors. Up until 2016-17, we really didn’t have many options either, but in the last 2-3 years, we’ve seen several new global funds. But there are restrictions in terms of overseas investments. At an industry level, RBI has set the limit at $7 billion and this includes a $1 billion limit on overseas ETFs. At a fund level, SEBI had set a limit $1 billion for mutual funds and $300 million for overseas ETFs.
Given the popularity of international mutual funds, the mutual fund industry is close to hitting the limits and all international mutual funds and ETFs have imposed various restrictions. The industry and SEBI are working with RBI to enhance the limits, but there’s nothing definitive yet.
What does this mean for you as an investor?
We are getting queries from investors if they should cancel their SIPs and redeem their investments. This issue is purely related to the amount of money that the mutual fund industry can invest abroad, that’s it. This has no impact whatsoever on your SIPs and existing investments. Please continue investing as per your asset allocation.
How does this impact my SIPs on Coin?
Most of the AMCs have stopped accepting fresh lumpsum and SIP registrations, but existing SIPs won’t be affected. Since we simulate SIPs on Coin with lumpsum investments, we’ll automatically migrate all monthly Coin SIPs in international mutual fund schemes to AMC SIPs by Feb 1st.
Just to reiterate, your existing monthly SIPs will remain unaffected. The funds for the SIP will be deducted from the trading account itself. The only real change is that you won’t be able to modify, instantly pause, resume SIPs or step-up your SIPs in AMC SIPs due to the way AMC SIPs work 
Important: Conditional, weekly SIPs, fornightly SIPs and paused SIPs will be deleted. If you still want to continue investing in international MF schemes, you will have to create a monthly AMC SIP by Feb 1st, 2 PM.
Read: How to create an AMC SIP.
Here’s a breakdown by AMC and scheme and what we are doing on Coin. Things are still unfolding, so we’ll keep this post updated when there are new developments.
Motilal Oswal
Motilal has stopped fresh lumpsum & SIP investments Motilal Oswal S&P 500 Index Fund, Motilal Oswal MSCI EAFE Top 100 Select Index Fund and Motilal Oswal Nasdaq 100 Fund of Fund. This restriction did not apply to existing SIPs. We had migrated your Coin SIPs to traditional AMC SIPs in these funds.
ETFs
The AMC has stopped fresh creations in these ETFs but redemptions will be allowed. ETFs will continue to trade in the exchanges as usual. Since creations aren’t allowed, the ETFs can trade away from their iNAVs. So please be careful and check the iNAV on the Motilal website before placing an order on Kite.
Parag Parikh Financial Advisory Services (PPFAS)
PPFAS has stopped fresh lumpsum and SIP investments in Parag Parikh Flexi Cap Fund, but existing SIPs will be unaffected. We are migrating all monthly Coin SIPs in the flexi cap fund to traditional AMC SIPs and your investments won’t be affected. You will receive an email from us with more details.
DSP mutual fund
DSP has stopped fresh inflows in the following 7 international schemes, but existing SIPs won’t be affected. We’ll migrate all your existing monthly Coin SIPs to AMC SIPs.
DSP US Flexible Equity Fund
DSP World Agriculture Fund
DSP Global Allocation Fund
DSP World Energy Fund
DSP World Gold Fund
DSP World Mining Fund
DSP Value Fund
Axis mutual fund
Axis has stopped fresh inflows in the following 3 international schemes, but existing SIPs won’t be affected. We’ll migrate all your existing monthly Coin SIPs to AMC SIPs.
Axis Global Equity Alpha Fund of Fund
Axis Global Innovation Fund of Fund
Axis Greater China Equity Fund of Fund
Mirae Asset India
Mirae has stopped fresh inflows in these two international schemes, but existing SIPs won’t be affected. We’ll migrate all your existing monthly Coin SIPs to AMC SIPs.
Mirae Asset NYSE FANG+ ETF Fund of Fund
Mirae Asset S&P 500 Top 50 ETF Fund of Fund
ETFs
The AMC has stopped fresh creations in these ETFs, but redemptions will be allowed. ETFs will continue to trade in the exchanges as usual. Since creations aren’t allowed, the ETFs can trade away from their iNAVs. So please be careful and check the iNAV on the Mirae website before placing an order on Kite.
Mirae Asset Hang Seng Tech ETF
Mirae Asset NYSE FANG PLUS ETF
Mirae Asset S&P 500 Top 50 ETF
Edelweiss mutual fund
Edelweiss has stopped fresh inflows in the following 4 international schemes, but existing SIPs won’t be affected. We’ll migrate all your existing monthly Coin SIPs to AMC SIPs.
Edelweiss Greater China Equity Off-Shore Fund
Edelweiss US Technology Equity Fund of Fund
Edelweiss Emerging Markets Opportunities Equity Off-Shore Fund
Edelweiss ASEAN Equity Off-Shore Fund
Edelweiss MSCI India Domestic & World Healthcare 45 Index Fund
Edelweiss Europe Dynamic Equity Off-shore Fund
Edelweiss US Value Equity Off shore fund
Aditya Birla Mutual Fund
Aditya Birla has stopped fresh inflows in the following 6 international schemes, but existing SIPs won’t be affected. We’ll migrate all your existing monthly Coin SIPs to AMC SIPs.
Aditya Birla Sun Life Commodity Equities Fund - Global Agri Plan
Aditya Birla Sun Life Global Emerging Opportunities Fund
Aditya Birla Sun Life Global Excellence Equity Fund of Fund
Aditya Birla Sun Life International Equity Fund - Plan A
Aditya Birla Sun Life International Equity Fund - Plan B
Aditya Birla Sun Life NASDAQ 100 FOF
ICICI Prudential Mutual Fund
ICICI mutual fund has stopped fresh inflows in the following 3 international schemes, but existing SIPs won’t be affected. We’ll migrate all your existing monthly Coin SIPs to AMC SIPs.
ICICI Prudential US Bluechip Equity Fund
ICICI Prudential NASDAQ 100 Index Fund
ICICI Prudential Global Stable Equity Fund (FOF)
Sundaram mutual fund
Sundaram mutual fund has stopped fresh inflows in Sundaram Global Brand Funds, but existing SIPs won’t be affected. We’ll migrate all your existing monthly Coin SIPs to AMC SIPs.
Kotak mutual fund
Kotak mutual fund has stopped fresh inflows in the following 3 international schemes, but existing SIPs won’t be affected. We’ll migrate all your existing monthly Coin SIPs to AMC SIPs.
Kotak Global Innovation fund of fund
Kotak Global Emerging Market Fund
Kotak International REIT FOF
Nippon India mutual fund
Nippon India mutual fund has stopped fresh inflows in the following 5 international schemes, but existing SIPs won’t be affected. We’ll migrate all your existing monthly Coin SIPs to AMC SIPs.
Nippon India US Equity Opportunities Fund
Nippon India Japan Equity Fund
Nippon India Taiwan Equity Fund
Nippon India ETF Hangseng BeES
Nippon India Multi Asset Fund
Franklin Templeton India mutual fund
Franklin Templeton mutual fund has stopped fresh inflows in the following 3 international schemes, but existing SIPs won’t be affected. We’ll migrate all your existing monthly Coin SIPs to AMC SIPs.
Franklin India Asian equity fund
Franklin India feeder-franklin U.S. Opportunities fund
Franklin India feeder- Templeton European Opportunities fund
HSBC mutual fund
HSBC mutual fund has stopped fresh inflows in the following 4 international schemes, but existing SIPs won’t be affected. We’ll migrate all your existing monthly Coin SIPs to AMC SIPs.
HSBC Asia Pacific (Ex Japan) Dividend Yield Fund
HSBC Brazil Fund
HSBC Global Emerging Markets Fund
HSBC Global Equity Climate Change Fund Of Fund
HDFC mutual fund
HDFC mutual fund has stopped fresh inflows in HDFC Developed World Indexes FOF, but existing SIPs won’t be affected. We’ll migrate all your existing monthly Coin SIPs to AMC SIPs.
SBI mutual fund
SBI mutual fund has stopped fresh inflows in SBI International Access—US Equity FOF, but existing SIPs won’t be affected. We’ll migrate all your existing monthly Coin SIPs to AMC SIPs.
PGIM India mutual fund
PGIM mutual fund has stopped fresh inflows in the following 3 international schemes, but existing SIPs won’t be affected. We’ll migrate all your existing monthly Coin SIPs to AMC SIPs.
Global Equity opportunities fund
Emerging markets Equity fund
Global Select Real Estate Fund
Invesco India mutual fund
Invesco India mutual fund has stopped fresh inflows in the following 3 international schemes, but existing SIPs won’t be affected. We’ll migrate all your existing monthly Coin SIPs to AMC SIPs.
Invesco India Global Consumer Trends FoF
Invesco India Global Equity Income FOF
Invesco India PAN European Equity FOF
BNP Paribas Funds Aqua Fund of Fund
BNP has stopped fresh inflows in BNP Paribas Funds Aqua Fund of Fund schemes, but existing SIPs won’t be affected. We’ll migrate all your existing monthly Coin SIPs to AMC SIPs.
