Global Investing

General
82

UCITS are listed in European exchanges but invest in US markets. It has many benefits over investing in US ETFs directly like exemption from US estate tax and lower tax withholding on dividends.
I hope Zerodha considers offering this at some point.

83

And I hope this ‘some point’ isn’t years or decades later :slight_smile:

1 Like
84

Zerodha is considering flat brokerage or % wise? Also will IDFC FIRST Bank or Kotak Bank be supported?

2 Likes
85

To begin with we will do US exchanges only, maybe we can think of other global markets later.

1 Like
86

Will announce on brokerage once we are close to release, IDFC will be there, Kotak also should be ready in couple of months.

1 Like
87

@siva would icicibank be supported. None of the other platforms do

88

Yes, it will be.

1 Like
89

@siva Would it be possible to transfer holdings from another US broker to Zerodha?

90

Ideally this should be possible.

91

Can I please get a glimpse of the US investing product? Maybe a teaser? :smiling_face_with_tear:

92

Will do in coming weeks.

1 Like
93

Haha…

1 Like
94

Can from Indmoney to zerodha, Possible?

95

@siva please enable investing in UCITS ETF also (listed on the London Stock Exchange & other European exchanges) soon so we can avoid US estate tax and dividend taxes. If possible, pls provide timeline for the same. Thanks

96

That would require Zerodha support for INR to multiple currencies or INR to USD to GBP (LSE UCITS).
Given the track record recently, well, yeah, maybe I won’t get my hopes high.
For reference @siva there’s a startup called Paasa, which they did is pretty good by building a layer on top of IKBR for this Global Access thing. If Zerodha could do something similar, that would solve the situation.
Orelse for now, IKBR is the best solution, though for most UCITS listen on LSE cost is a great factor at Brokerage Minimum of 1 GBP. :slight_smile: Though I will not be getting my hopes up for anything anytime soon from Z, but would be great to have something Soon :slight_smile:

On a side note @Jason_Castelino @cvs @neha1101 What’s your takes on Global Investing/Trading in Global Market Including and beyond the US

1 Like
97

I am only into USD denominated ETFs from India (investing only in INR). This is because the constitutents of these ETFs rank in top 50 of world biggest companies and the base currency is USD. INR will always depreciate and hence this is an added advantage for me. No other market with my limited Capital.

3 Likes
98

Not really. Trading currency of UCITS can be either USD denominated or GBP denominated, even if it is listed on LSE.

1 Like
99

Looking at

  • the popular instruments involved (derivatives?)
    and
  • the number of middle-men involved (additional points of failure / uncertainty / risk?)

Global investing/trading is instinctively wayyy down/later in my list.
Maybe a good pool of potential candidates for a Seneca’s barbell setup.
[ Source ]

That said, sovereign bonds of a few other nations,
and passive broad index funds listed in large markets,
do sound like great options to diversify
even early-on in one’s financial journey.

3 Likes
100

I am personally not so keen. I believe India will grow faster than other economies. Just to sound cool I am not interested to invest in other countries. At least for now.

2 Likes
101

Hello @Chetan_Nahata

The same applies for UDRs as well, if any dividend has been declared then they are subject to withholding tax of 25% in US and as per India and US DTAA you can claim foreign tax credit of lower of Withholding tax deducted or tax payable in India whichever is lower.