Complete guide: How to invest in NASDAQ from India in 2026
Indian investors can now access NASDAQ through multiple routes. Direct US brokerage accounts, India-based fintech platforms, and domestic mutual funds all offer pathways to American markets. The RBI permits up to $250,000 annually under the Liberalised Remittance Scheme. A 20% TCS applies to investments exceeding ₹10 lakh.
The NASDAQ-100 delivered 25.9% returns in 2024. It crossed 20,000 for the first time in December 2024. This performance makes the US market exposure increasingly attractive for portfolio diversification. This guide covers regulations, platforms, costs, and tax implications for FY 2025-26.
What is NASDAQ, and why does it matter for Indian investors
NASDAQ stands as the world's first fully electronic stock exchange. Founded in 1971, it hosts 4,075 listed companies with a combined market capitalisation of approximately $14 trillion. The exchange dominates technology leadership globally. The Magnificent Seven stocks—Apple, Microsoft, NVIDIA, Amazon, Alphabet, Meta, and Tesla—account for roughly 70% of the NASDAQ-100 index weight.
The NASDAQ-100 index tracks the 100 largest non-financial companies. It delivered exceptional performance over recent years: 54% returns in 2023, 25.9% in 2024, and a 10-year annualised return of approximately 21%. Technology gained 36.6% while communications rose 40.2% in 2024. The AI boom drove these gains, with NVIDIA contributing 18% of the index's recovery from 2022 lows.
For Indian investors, NASDAQ-listed Indian stocks offer three compelling advantages. First, geographic diversification helps spread risk. India represents just 4% of global market capitalisation, while the US accounts for 45%. Second, currency hedge benefits emerge naturally. The rupee depreciated from ₹45/USD in 2010 to approximately ₹86/USD in early 2026. This amplifies dollar-denominated returns when converted back to rupees. Third, investors gain access to innovation leaders in AI, cloud computing, semiconductors, and biotechnology. These companies have no comparable Indian equivalents.
Direct vs indirect investment options
Direct investment means opening a US brokerage account and purchasing NASDAQ stocks directly. You own the actual shares registered in your name. This method offers maximum control, fractional share purchases, and direct dividend receipts. However, it requires LRS documentation, foreign currency conversion, and compliance with both US and Indian tax regulations.
Indirect investment involves buying Indian mutual funds that invest in NASDAQ securities. You own mutual fund units, not the underlying stocks. The fund house handles all foreign investment logistics. This method simplifies compliance and allows rupee-based SIPs. However, you will incur additional expense ratios and may face investment restrictions if you exceed overseas limits.
Your choice depends on the investment size and level of involvement. Direct investing suits active investors who are comfortable with paperwork. Mutual funds better serve those preferring simplified compliance.
Step-by-step investment process
Step 1: Choose your platform. Compare US brokerage accounts and India options based on fees, minimum investment, and features—research platforms like Interactive Brokers, Vested, INDmoney, or Groww.
Our beginner's guide to investing in US stocks from India outlines the complete process.
Step 2: Complete KYC documentation. Submit your PAN card, Aadhaar, address proof, and bank statements. Most platforms verify documents within 24-48 hours.
Step 3: Open your account. Sign the account agreement and complete the W-8BEN form for US tax treaty benefits. This reduces dividend withholding from 30% to 25%.
Step 4: Fund your account. Transfer money through your bank using Form A2 declaration. The bank processes your LRS remittance within 1-3 business days.
Step 5: Start investing. Search for NASDAQ-listed stocks or ETFs. Place buy orders during US market hours (7:00 PM to 1:30 AM IST).
Step 6: Track and report. Monitor your portfolio performance. Report foreign assets in Schedule FA of your income tax return annually.
Platforms for NASDAQ investment are available to Indians
Interactive Brokers remains the gold standard for experienced investors. It offers the industry's lowest currency conversion at 0.002%. Trading fees start at $0.35 per trade. Access spans 90+ global markets. However, it requires a $500 minimum for market data subscriptions. Only cash accounts are available to Indian residents—no margin trading.
Vested Finance emerged as the most popular India-focused platform. It accepts just a $1 minimum investment in NASDAQ and offers fractional shares. The basic plan charges a 0.25% brokerage fee, capped at $35 per trade. Premium subscribers pay 0.15%. SIPC protection covers up to $500,000 per account.
INDmoney provides an all-in-one proposition. Zero account charges and zero withdrawal fees appeal to cost-conscious investors. Brokerage is 0.25%, with a $25 maximum. It offers both GIFT City access and US broker access. SIP options start at just ₹85.
Groww updated its fee structure in June 2025. It now charges $0.02 per US stock trade—among the lowest in the industry. Its integrated platform handles both Indian and US investments. This makes it ideal for beginners entering the US markets.
Platform comparison:
| Platform | Minimum | Brokerage | SIPC Cover | Best For |
|---|---|---|---|---|
| Interactive Brokers | $500 | $0.35 minimum | $500,000 | Experienced |
| Vested Finance | $1 | 0.15-0.25% | $500,000 | Popular choice |
| INDmoney | $1 | 0.25% (max $25) | $500,000 | All-in-one |
| Groww | ~$1 | $0.02/trade | Via partner | Beginners |
Important note: Charles Schwab and TD Ameritrade do not accept Indian residents. The merger was completed in late 2025, and neither entity serves Indian clients.
Minimum investment requirements
The minimum investment in NASDAQ varies by platform and investment method. Direct platforms such as Vested, INDmoney, and Groww accept investments starting at $1. Fractional shares enable this low entry point. You can buy 0.001 shares of expensive stocks like Amazon or Tesla.
Interactive Brokers requires $500 for market data access. However, the minimum trade amount is $1. ICICI Direct GlobalInvest has no minimum, but it charges higher fees for smaller trades.
Indian mutual funds offer even lower entry points. ICICI Prudential NASDAQ 100 Index Fund accepts SIPs from ₹100. Mirae Asset NYSE FANG+ FoF starts at ₹99. The Motilal Oswal NASDAQ 100 Fund of Fund requires a minimum SI of ₹500. Navi NASDAQ 100 FoF accepted SIPs from just ₹10 before suspending new investments.
Remember that practical costs matter beyond minimums. Currency conversion fees, remittance charges, and brokerage fees make very small investments inefficient. Most experts recommend starting with at least ₹10,000-15,000 for direct investing to justify the costs involved.
Key documents needed to invest in NASDAQ from India
To invest in NASDAQ India, you must prepare specific documents for account opening and fund transfer. Keep these ready before starting the process.
Identity proof: PAN card is mandatory for all LRS transactions. Aadhaar card provides additional KYC verification. A passport proves helpful for international broker accounts.
Address proof: Aadhaar card, utility bills (not older than 3 months), or bank statements confirm your residential address.
Financial documents: Bank statements for the last 6 months demonstrate financial stability. Some platforms require proof of income or an ITR acknowledgement.
Form A2 declaration: Your bank requires this form for every LRS remittance. It declares the purpose of the foreign exchange purchase and confirms compliance with RBI guidelines.
Form W-8BEN: This US tax form establishes your non-resident status. It reduces dividend withholding tax from 30% to 25% under the India-US tax treaty. Most platforms help you complete this during onboarding.
Understanding the regulatory framework and tax implications
The RBI Liberalised Remittance Scheme permits Indian residents to invest up to $250,000 per financial year. This limit remained unchanged since May 2015. It applies on an individual basis—a family of four can collectively invest up to $1 million annually.
Budget 2025 brought relief on TCS rates. The threshold increased from ₹7 lakh to ₹10 lakh. Investments below this amount are subject to zero TCS. Remittances exceeding ₹10 lakh are subject to 20% TCS. This amount is fully refundable when filing your income tax return.
For example, remitting ₹15 lakh incurs TCS of ₹1 lakh. You calculate this as 20% of ₹5 lakh (the amount above threshold). You recover this as a tax credit or refund during ITR filing.
FEMA regulations impose essential restrictions. Margin trading and derivatives on overseas exchanges are explicitly prohibited for Indian residents. Only cash-based equity purchases are permitted.
Capital gains taxation: Budget 2024 simplified the structure. Stocks held for more than 24 months qualify for a 12.5% LTCG tax rate. Stocks sold within 24 months are subject to STCG at your income tax slab rate. This can exceed 30% for high earners.
Read our detailed guide on tax implications for US stock investments to understand the complete tax structure.
Dividend taxation: The US withholds 25% at source under the India-US DTAA. In India, dividends are taxed as income from other sources at your slab rate. The Foreign Tax Credit mechanism prevents double taxation—file Form 67 before your ITR to claim credit for US tax paid.
Compliance requirements: All resident Indians holding foreign assets must report them in Schedule FA of ITR-2 or ITR-3. Disclose the country, entity name, acquisition date, and closing value as of December 31. Penalties for non-disclosure are severe—up to ₹10 lakh per year under the Black Money Act.
Indian mutual funds tracking NASDAQ
For investors preferring the familiar mutual fund route, several India-domiciled funds track the NASDAQ-100. These eliminate LRS paperwork and the hassle of foreign currency conversion.
Motilal Oswal NASDAQ 100 ETF leads with ₹11,317 crore AUM. It directly holds NASDAQ-100 constituent stocks and charges 0.58% expense ratio. Purchase via a demat account on the NSE using the symbol MON100. No SIP option is available.
Motilal Oswal NASDAQ 100 Fund of Fund provides SIP convenience. It invests in the underlying ETF. The direct plan carries just 0.20% expense ratio and delivered 38.11% three-year CAGR. Minimum SIP stands at ₹500.
ICICI Prudential NASDAQ 100 Index Fund directly holds NASDAQ stocks rather than investing through another fund. It charges 0.50% expense ratio with nil exit load. SIPs start from ₹100. This fund accepts new investments currently.
Mirae Asset NYSE FANG+ FoF tracks just 10 mega-cap tech stocks. It delivered an exceptional 65.89% three-year CAGR with the industry's lowest expense ratio at 0.07%. Minimum SIP is ₹99.
Important: Navi NASDAQ 100 FoF remains suspended for new investments due to the RBI's overseas investment limits on mutual funds.
Disclaimer: The views and recommendations made above are those of individual analysts or brokerage companies, and not of Winvesta. We advise investors to check with certified experts before making any investment decisions.
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Table of Contents
Indian investors can now access NASDAQ through multiple routes. Direct US brokerage accounts, India-based fintech platforms, and domestic mutual funds all offer pathways to American markets. The RBI permits up to $250,000 annually under the Liberalised Remittance Scheme. A 20% TCS applies to investments exceeding ₹10 lakh.
The NASDAQ-100 delivered 25.9% returns in 2024. It crossed 20,000 for the first time in December 2024. This performance makes the US market exposure increasingly attractive for portfolio diversification. This guide covers regulations, platforms, costs, and tax implications for FY 2025-26.
What is NASDAQ, and why does it matter for Indian investors
NASDAQ stands as the world's first fully electronic stock exchange. Founded in 1971, it hosts 4,075 listed companies with a combined market capitalisation of approximately $14 trillion. The exchange dominates technology leadership globally. The Magnificent Seven stocks—Apple, Microsoft, NVIDIA, Amazon, Alphabet, Meta, and Tesla—account for roughly 70% of the NASDAQ-100 index weight.
The NASDAQ-100 index tracks the 100 largest non-financial companies. It delivered exceptional performance over recent years: 54% returns in 2023, 25.9% in 2024, and a 10-year annualised return of approximately 21%. Technology gained 36.6% while communications rose 40.2% in 2024. The AI boom drove these gains, with NVIDIA contributing 18% of the index's recovery from 2022 lows.
For Indian investors, NASDAQ-listed Indian stocks offer three compelling advantages. First, geographic diversification helps spread risk. India represents just 4% of global market capitalisation, while the US accounts for 45%. Second, currency hedge benefits emerge naturally. The rupee depreciated from ₹45/USD in 2010 to approximately ₹86/USD in early 2026. This amplifies dollar-denominated returns when converted back to rupees. Third, investors gain access to innovation leaders in AI, cloud computing, semiconductors, and biotechnology. These companies have no comparable Indian equivalents.
Direct vs indirect investment options
Direct investment means opening a US brokerage account and purchasing NASDAQ stocks directly. You own the actual shares registered in your name. This method offers maximum control, fractional share purchases, and direct dividend receipts. However, it requires LRS documentation, foreign currency conversion, and compliance with both US and Indian tax regulations.
Indirect investment involves buying Indian mutual funds that invest in NASDAQ securities. You own mutual fund units, not the underlying stocks. The fund house handles all foreign investment logistics. This method simplifies compliance and allows rupee-based SIPs. However, you will incur additional expense ratios and may face investment restrictions if you exceed overseas limits.
Your choice depends on the investment size and level of involvement. Direct investing suits active investors who are comfortable with paperwork. Mutual funds better serve those preferring simplified compliance.
Step-by-step investment process
Step 1: Choose your platform. Compare US brokerage accounts and India options based on fees, minimum investment, and features—research platforms like Interactive Brokers, Vested, INDmoney, or Groww.
Our beginner's guide to investing in US stocks from India outlines the complete process.
Step 2: Complete KYC documentation. Submit your PAN card, Aadhaar, address proof, and bank statements. Most platforms verify documents within 24-48 hours.
Step 3: Open your account. Sign the account agreement and complete the W-8BEN form for US tax treaty benefits. This reduces dividend withholding from 30% to 25%.
Step 4: Fund your account. Transfer money through your bank using Form A2 declaration. The bank processes your LRS remittance within 1-3 business days.
Step 5: Start investing. Search for NASDAQ-listed stocks or ETFs. Place buy orders during US market hours (7:00 PM to 1:30 AM IST).
Step 6: Track and report. Monitor your portfolio performance. Report foreign assets in Schedule FA of your income tax return annually.
Platforms for NASDAQ investment are available to Indians
Interactive Brokers remains the gold standard for experienced investors. It offers the industry's lowest currency conversion at 0.002%. Trading fees start at $0.35 per trade. Access spans 90+ global markets. However, it requires a $500 minimum for market data subscriptions. Only cash accounts are available to Indian residents—no margin trading.
Vested Finance emerged as the most popular India-focused platform. It accepts just a $1 minimum investment in NASDAQ and offers fractional shares. The basic plan charges a 0.25% brokerage fee, capped at $35 per trade. Premium subscribers pay 0.15%. SIPC protection covers up to $500,000 per account.
INDmoney provides an all-in-one proposition. Zero account charges and zero withdrawal fees appeal to cost-conscious investors. Brokerage is 0.25%, with a $25 maximum. It offers both GIFT City access and US broker access. SIP options start at just ₹85.
Groww updated its fee structure in June 2025. It now charges $0.02 per US stock trade—among the lowest in the industry. Its integrated platform handles both Indian and US investments. This makes it ideal for beginners entering the US markets.
Platform comparison:
| Platform | Minimum | Brokerage | SIPC Cover | Best For |
|---|---|---|---|---|
| Interactive Brokers | $500 | $0.35 minimum | $500,000 | Experienced |
| Vested Finance | $1 | 0.15-0.25% | $500,000 | Popular choice |
| INDmoney | $1 | 0.25% (max $25) | $500,000 | All-in-one |
| Groww | ~$1 | $0.02/trade | Via partner | Beginners |
Important note: Charles Schwab and TD Ameritrade do not accept Indian residents. The merger was completed in late 2025, and neither entity serves Indian clients.
Minimum investment requirements
The minimum investment in NASDAQ varies by platform and investment method. Direct platforms such as Vested, INDmoney, and Groww accept investments starting at $1. Fractional shares enable this low entry point. You can buy 0.001 shares of expensive stocks like Amazon or Tesla.
Interactive Brokers requires $500 for market data access. However, the minimum trade amount is $1. ICICI Direct GlobalInvest has no minimum, but it charges higher fees for smaller trades.
Indian mutual funds offer even lower entry points. ICICI Prudential NASDAQ 100 Index Fund accepts SIPs from ₹100. Mirae Asset NYSE FANG+ FoF starts at ₹99. The Motilal Oswal NASDAQ 100 Fund of Fund requires a minimum SI of ₹500. Navi NASDAQ 100 FoF accepted SIPs from just ₹10 before suspending new investments.
Remember that practical costs matter beyond minimums. Currency conversion fees, remittance charges, and brokerage fees make very small investments inefficient. Most experts recommend starting with at least ₹10,000-15,000 for direct investing to justify the costs involved.
Key documents needed to invest in NASDAQ from India
To invest in NASDAQ India, you must prepare specific documents for account opening and fund transfer. Keep these ready before starting the process.
Identity proof: PAN card is mandatory for all LRS transactions. Aadhaar card provides additional KYC verification. A passport proves helpful for international broker accounts.
Address proof: Aadhaar card, utility bills (not older than 3 months), or bank statements confirm your residential address.
Financial documents: Bank statements for the last 6 months demonstrate financial stability. Some platforms require proof of income or an ITR acknowledgement.
Form A2 declaration: Your bank requires this form for every LRS remittance. It declares the purpose of the foreign exchange purchase and confirms compliance with RBI guidelines.
Form W-8BEN: This US tax form establishes your non-resident status. It reduces dividend withholding tax from 30% to 25% under the India-US tax treaty. Most platforms help you complete this during onboarding.
Understanding the regulatory framework and tax implications
The RBI Liberalised Remittance Scheme permits Indian residents to invest up to $250,000 per financial year. This limit remained unchanged since May 2015. It applies on an individual basis—a family of four can collectively invest up to $1 million annually.
Budget 2025 brought relief on TCS rates. The threshold increased from ₹7 lakh to ₹10 lakh. Investments below this amount are subject to zero TCS. Remittances exceeding ₹10 lakh are subject to 20% TCS. This amount is fully refundable when filing your income tax return.
For example, remitting ₹15 lakh incurs TCS of ₹1 lakh. You calculate this as 20% of ₹5 lakh (the amount above threshold). You recover this as a tax credit or refund during ITR filing.
FEMA regulations impose essential restrictions. Margin trading and derivatives on overseas exchanges are explicitly prohibited for Indian residents. Only cash-based equity purchases are permitted.
Capital gains taxation: Budget 2024 simplified the structure. Stocks held for more than 24 months qualify for a 12.5% LTCG tax rate. Stocks sold within 24 months are subject to STCG at your income tax slab rate. This can exceed 30% for high earners.
Read our detailed guide on tax implications for US stock investments to understand the complete tax structure.
Dividend taxation: The US withholds 25% at source under the India-US DTAA. In India, dividends are taxed as income from other sources at your slab rate. The Foreign Tax Credit mechanism prevents double taxation—file Form 67 before your ITR to claim credit for US tax paid.
Compliance requirements: All resident Indians holding foreign assets must report them in Schedule FA of ITR-2 or ITR-3. Disclose the country, entity name, acquisition date, and closing value as of December 31. Penalties for non-disclosure are severe—up to ₹10 lakh per year under the Black Money Act.
Indian mutual funds tracking NASDAQ
For investors preferring the familiar mutual fund route, several India-domiciled funds track the NASDAQ-100. These eliminate LRS paperwork and the hassle of foreign currency conversion.
Motilal Oswal NASDAQ 100 ETF leads with ₹11,317 crore AUM. It directly holds NASDAQ-100 constituent stocks and charges 0.58% expense ratio. Purchase via a demat account on the NSE using the symbol MON100. No SIP option is available.
Motilal Oswal NASDAQ 100 Fund of Fund provides SIP convenience. It invests in the underlying ETF. The direct plan carries just 0.20% expense ratio and delivered 38.11% three-year CAGR. Minimum SIP stands at ₹500.
ICICI Prudential NASDAQ 100 Index Fund directly holds NASDAQ stocks rather than investing through another fund. It charges 0.50% expense ratio with nil exit load. SIPs start from ₹100. This fund accepts new investments currently.
Mirae Asset NYSE FANG+ FoF tracks just 10 mega-cap tech stocks. It delivered an exceptional 65.89% three-year CAGR with the industry's lowest expense ratio at 0.07%. Minimum SIP is ₹99.
Important: Navi NASDAQ 100 FoF remains suspended for new investments due to the RBI's overseas investment limits on mutual funds.
Disclaimer: The views and recommendations made above are those of individual analysts or brokerage companies, and not of Winvesta. We advise investors to check with certified experts before making any investment decisions.
Ready to earn on every trade?
Invest in 11,000+ US stocks & ETFs
