According to a study of Indians' worldwide investment habits, 68% of their money is invested in equities, 24% in ETFs, 7% in cash, and 1% in global funds. The average investor owns eight equities, indicating that people prefer to invest in a limited number of concepts that they feel comfortable with.
In an effort to diversify their portfolios and pursue higher returns, Indian investors are increasingly allocating to international stocks, primarily the major tech companies listed in the US. Due to increased interest in global opportunities, Indian investors have increased their commitment from $400 million to over $1.6 billion over the past six years.
It makes sense for investors to diversify their portfolio because no single market consistently holds the top spot. India has led the worldwide return table twice in the last ten years, according to data released by Vested Finance, making global diversification a crucial need.
However, Indians are not restricted to the metropolitan areas when it comes to trading in international financial markets. According to a Vested Finance study titled "How India Invests Globally 2025 Edition," investors from more than 145 Indian cities are making international investments, with 47% coming from Tier-II and Tier-III towns.
Which US stocks are being wagered on by Indian investors?
According to a study of Indians' worldwide investment habits, 68% of their money is invested in equities, 24% in ETFs, 7% in cash, and 1% in global funds.
The average investor owns eight equities, indicating that people prefer to invest in a limited number of concepts that they feel comfortable with. $10,465 is the median portfolio size.
According to Vested Finance, most Indian investors are constructing long-term, high-conviction global portfolios that include both stocks and exchange-traded funds. Regarding their stock selections, Vested stated that international investors in India invest in businesses that define entire markets, supply chains, or technologies.
According to the survey, some of their favorite stocks are Big Tech companies like Nvidia, Tesla, Apple, Meta Platforms, Alphabet, and Microsoft. Amazon, Palantir, Broadcom, and AMD are some of the other well-known US stocks that Indians own worldwide.
ETFs also make up a sizable portion of their portfolio holdings; 80% of investors have an ETF allocation, with index ETFs accounting for 27% of total.
Top picks include the Vanguard S&P 500 ETF and the Invesco NASDAQ 100 ETF. By allocating to their ETFs, Indian investors also demonstrated a preference for technology and semiconductor firms.
What will influence international investment?
According to Vested Finance, the next stage of international investment for Indians will come from four practical changes in how people arrange their finances, distribute money, and consider global exposure rather than from headlines or unexpected market events.
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