Vested Finance opens global mutual fund access to retail investors

To allow investments in schemes based in US, other markets under LRS

Vested Finance, an investment platform that enables Indian investors to buy US stocks, has broadened its product suite to provide access to global mutual funds (MFs).

 

According to the company, it is the first and only platform in India to allow direct investments in international funds by retail investors. The minimum ticket size is $10.

 

The company said it has tied up with global fund platforms to provide access to over 50 international schemes domiciled in Gujarat International Finance Tec-City (GIFT City) and Luxembourg. The initial offerings include active and passive funds across asset classes from DSP, BlackRock, Vanguard, Goldman Sachs, Franklin Templeton, and Morgan Stanley.

 

Investments will take place under the Reserve Bank of India’s Liberalised Remittance Scheme (LRS), which allows Indian citizens to remit up to $250,000 in a financial year.

 

At present, retail investors have the option to invest in international funds through fund-of-funds (FoFs) offered by domestic MFs. However, most schemes do not accept investments due to the unavailability of international investment limits.

 

Vested Finance has extended the brokerage model to MF investments. The platform will charge 0.25 per cent of the investment value as a fee. Investors with a monthly subscription will have to pay 0.15 per cent. Investments will also incur currency conversion and other transaction fees charged by banks.

 

“The new offering opens up investment opportunities in global themes that are shaping the future — artificial intelligence, semiconductors, renewable energy, healthcare, and emerging markets. Investors can also spread their money across different geographies and asset classes, from European and Japanese equities to global bond markets. At the same time, these funds can act as a hedge against any rupee depreciation,” the company said in a release.