Everything you need to know about restrictions on new investments in international mutual funds and ETFs


The RBI is yet to increase the overseas investment for limit and all the global schemes remain closed for fresh investments.

PPFAs Flexi Cap fund has a mix of domestic and foreign equities, and the scheme had stopped accepting fresh inflows. But the AMC send a note saying that they will reopen for investments from March 15th, 2020. They’ll invest 100% of the inflows in Indian stocks and start investing in foreign stocks and rebalance the portfolio once RBI revises the limit.

While we wish for an early increase in the overseas investment limit,considering the current scenario, an early increase may not come by. We have been getting feedback from investors that they would like to benefit from lower stock prices and invest in Parag Parikh Flexi Cap Fund.

Also, various investors have registered their SIPs through different platforms where the back-end for each differs. This has caused confusion among investors and partners regarding the status of their investments in Parag Parikh Flexi Cap Fund.

Given this background, we will be opening up Parag Parikh Flexi Cap Fund for acceptance of transactions with effect from Tuesday, March 15, 2022.

At this time there is no change in the overseas investment limit. Because of this, fresh net inflows will have to be invested in India. Given this situation, it is expected that over time, the weightage of foreign stocks in Parag Parikh Flexi Cap Fund will come down. As and when overseas investment limits are increased, we will rebalance the portfolio as per the then prevailing situation and valuations.


When Zerodha will allow investment in individual stocks?
NYSE, NASDAQ and Korean exchange…

It is not yet open on coin? It is Mar 15 already

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@Bhuvan - Any update on when will coin allow further investments on PPFAS flexicap? I don’t see the option to invest on coin yet.

You can create an SIP now.


Thank you for the update. Just placed a order now :slight_smile:

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Motilal Oswal AMC has announced it will be pausing all existing SIPs and STPs in the following international mutual funds with effect from April 1, 2022;

  1. Motilal Oswal S&P 500 Index Fund
  2. Motilal Oswal MSCI EAFE Top 100 Select Index Fund
  3. Motilal Oswal Nasdaq 100 Fund of Fund

You can check the announcement here.


Oh no! :face_with_thermometer:

Hopefully, they don’t stop the ETF’s too.

Do we have any ETA on when the limits will be increased ? It seems like volatility is being used as an excuse to force investors to invest in the Indian market.

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Any info on when the restrictions will be lifted ? It seems like everybody in the trading community in India has just forgotten about this :slight_smile: The market in the U.S. is now at one its lowest points, it would be criminal to not allow investments now.


Still no updates?!! :roll_eyes: :thinking:

SEBI in it’s recent circular has allowed mutual funds to resume fresh investments in international mutual fund schemes.

As per the circular, mutual funds can make overseas investments to the extent of headroom available without breaching the investments limits as of February 1, 2022 at the mutual fund level.

At a fund level, SEBI had set a limit $1 billion for mutual funds and $300 million for overseas ETFs.

Edelweiss Mutual Fund

Following this, Edelweiss Mutual Fund will be resuming lumpsum investments, SIP and STP registrations and in the following international schemes from June 21, 2022, onwards;

Edelweiss ASEAN Equity Offshore Fund
Edelweiss Greater China Equity Offshore Fund
Edelweiss US Technology Equity FOF
Edelweiss Emerging Markets Opportunities Equity Offshore Fund
Edelweiss US Value Equity Offshore Fund
Edelweiss Europe Dynamic Equity Offshore Fund
Edelweiss MSCI India Domestic and World Healthcare 45 Index Fund

You can check the announcement from Edelweiss here.

Nippon India Mutual Fund

Nippon India Mutual Fund will be resuming lumpsum investments, SIP and STP registrations in the following schemes from June 22, 2022, onwards;

Nippon India US Equity Opportunities Fund
Nippon India Japan Equity Fund
Nippon India Taiwan Equity Fund
Nippon India Multi Asset Fund
Nippon India ETF Hang Seng BeES

Mirae Asset Mutual Fund

Mirae Asset Mutual Fund has resumed fresh lumpsum investments with a limit of Rs. 200,000 per day, per invertor in the following schemes;

Mirae Asset NYSE FANG+ ETF Fund of Fund
Mirae Asset S&P 500 Top 50 ETF Fund of Fund
Mirae Asset Hang Seng TECH ETF Fund of Fund

Note: The existing SIPs that were suspended in the above schemes will remain suspended and no fresh SIPs will be allowed. Also, the creation of new units in Mirae Asset’s international ETFs will continue to remain suspended. While the ETFs continue to trade on exchanges, with no creation of fresh units those can trade at a premium or a discount compared to their fair value (iNAV), this post explains it in detail: Premiums and discounts in international ETFs


@ShubhS9 Thanks for the information on timely

Thought these limits were based on AUM of mutual funds, turns out these limits are based on redemptions. So these resumption of investment in international mutual funds will be short lived…

Nippon India Mutual Fund has suspended lumpsum investments as well as fresh SIP registrations in the following schemes from June 29, 2022.

  • Nippon India US Equity Opportunities Fund
  • Nippon India Japan Equity Fund
  • Nippon India Taiwan Equity Fund
  • Nippon India Multi Asset Fund

However, the existing SIP’s orders will continued to be processed as per SIP date. You can check more details here

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Mirae Asset Mutual Fund has resumed lumpsum investments in following mutual funds, starting September 23, 2022.


As per AMC, existing SIPs well continue to run as is but creation of fresh SIPs is not allowed. You can check the circular here.

@ShubhS9 Any update on MO S&P 500, Nasdaq 100 FOF SIP investment?

Check out this thread - Motilal Oswal Update on International Investing - October 20th 2022

Too many jargons. :unamused:

Can someone explain why MO Nasdaq 100 FOF MF doesn’t allow buying currently ? @ShubhS9 @Bhuvan

RBI has set an industry-level overseas investment limit of $7 billion. At the mutual fund level, it is $1 billion. As the mutual fund industry has hit these limits, they can no longer invest in overseas stocks. This is why Motilal Oswal MF has stopped investment in NASDAQ 100 FOF, along with other international funds.

This has been explained in detail in main post, would suggest you check it.

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