Indian mutual funds with NASDAQ exposure: Complete list 2026
Indian investors seeking US tech exposure through domestic mutual funds face an evolving landscape in 2026.
For investors considering direct ETF purchases instead of mutual funds, our comprehensive guide on investing in US stocks through ETFs from India covers QQQ, VOO, and other popular options with detailed cost comparisons.
SEBI's $7 billion overseas investment cap continues to restrict fresh investments in many popular funds. However, several options remain open, including Kotak NASDAQ 100 FoF, Navi NASDAQ 100 FoF, and actively managed alternatives. This comprehensive guide covers all available NASDAQ-focused funds with current expense ratios, returns, tax implications, and SIP availability.
The NASDAQ-100 delivered approximately 21% returns in 2025, continuing its strong performance streak. Indian mutual funds tracking this index have delivered a 34-38% three-year CAGR, outperforming most domestic equity categories. The rupee's 4-5% annual depreciation against the dollar adds currency tailwinds to these returns for Indian investors.
Complete list of NASDAQ-focused mutual funds in India
Indian investors can access NASDAQ exposure through three distinct fund structures. Fund of Funds invests in underlying US or Ireland-domiciled ETFs. Direct index funds hold NASDAQ-100 constituents directly. Actively managed funds select US stocks based on the fund manager's discretion.
The passive NASDAQ tracking funds include Motilal Oswal NASDAQ 100 FoF with ₹6,159 crore AUM, Kotak NASDAQ 100 FoF with ₹3,770 crore AUM, Navi NASDAQ 100 FoF with ₹1,061 crore AUM, and ICICI Prudential NASDAQ 100 Index Fund with ₹2,622 crore AUM. Among these, Motilal Oswal and ICICI Prudential have suspended fresh investments, while Kotak and Navi remain open.
Active funds with significant US exposure include ICICI Prudential US Bluechip Equity Fund with ₹3,521 crore AUM, Franklin India Feeder US Opportunities Fund with ₹4,465 crore AUM, Edelweiss US Technology Equity FoF with ₹3,640 crore AUM, and DSP US Flexible Equity Fund with ₹1,091 crore AUM. These funds provide diversified exposure to the US market beyond pure NASDAQ tracking.
The Motilal Oswal NASDAQ 100 ETF trades on Indian exchanges with ₹11,317 crore AUM and 0.58% expense ratio. However, unit creation restrictions due to regulatory limits affect liquidity and premium/discount dynamics. Investors should monitor the NAV against the market price before trading.
Motilal Oswal NASDAQ 100 FoF leads the category.
India's largest NASDAQ-focused mutual fund launched on November 29, 2018 and has accumulated ₹6,159 crore in assets. The fund invests entirely in Motilal Oswal NASDAQ 100 ETF, which directly holds NASDAQ-100 constituent stocks.
Performance metrics demonstrate strong returns. One-year returns range from 11% to 23%, depending on the calculation date. Three-year CAGR reaches 36-38%. Five-year CAGR stands at 19-20%. Since its inception, the fund has delivered 25.18% CAGR, making it one of the best-performing international funds.
The direct plan charges 0.22% expense ratio while the regular plan charges 0.58%. The underlying ETF carries a 0.58% expense ratio, resulting in a total effective cost of approximately 0.80% for FoF investors. This stacked expense structure is inherent to all Fund of Funds investing in domestic ETFs.
The minimum investment is just ₹500 for both SIP and lump-sum. An exit load of 1% applies to redemptions within 15 days. The fund is managed by Swapnil Mayekar, Rakesh Shetty, and Dishant Mehta.
However, the fund has suspended all fresh investments, including new SIP registrations, effective January 5, 2025, due to SEBI's overseas investment limits. Existing investors may continue to hold or redeem without restrictions, but may not add new money.
ICICI Prudential offers two distinct US strategies
ICICI Prudential US Bluechip Equity Fund provides actively managed, diversified exposure to the US healthcare, consumer, industrials, and technology sectors. Launched July 6, 2012, this ₹3,521 crore fund deliberately avoids heavy concentration in Magnificent Seven stocks.
The fund benchmarks against the S&P 500 TRI rather than the NASDAQ-100, reflecting its broader mandate. Top holdings include Huntington Ingalls Industries at 3.20%, Alphabet Class C at 3.04%, Estee Lauder at 2.91%, and Agilent Technologies at 2.90%. Technology accounts for only 8-10% of the portfolio, compared with 50%+ in NASDAQ-tracking funds.
One-year returns range from 16-21%, while three-year CAGR stands at 19.84%, and five-year CAGR reaches 14-15%. The 1.17% expense ratio reflects active management costs. An exit load of 1% applies to redemptions within 31 days. This fund remains open to new investments following the July 2025 reopening.
ICICI Prudential NASDAQ 100 Index Fund, launched on October 18, 2021, operates differently as a direct index fund. It holds NASDAQ-100 constituents directly rather than through a fund-of-funds structure. With ₹2,622 crore in AUM and a 0.61% expense ratio, it delivered 27-29% one-year returns and a 34-36% three-year CAGR.
The direct structure eliminates the double-layer expense structure of FoFs, but the fund has suspended new investments due to regulatory constraints. Existing investors can continue to make redemptions and switches, but cannot add new capital.
Kotak and Navi emerge as accessible alternatives.
With major funds closed, Kotak NASDAQ 100 FoF and Navi NASDAQ 100 FoF have become primary options for investors seeking passive NASDAQ exposure.
Kotak NASDAQ 100 FoF manages ₹3,770 crore in assets and invests in iShares NASDAQ 100 UCITS ETF domiciled in Ireland. This structure distinguishes it from domestic ETF-based FoFs and may offer potential estate tax benefits for large portfolios. Managed by Arjun Khanna and Abhishek Bisen since Febthe the, the fund charges a 0.24% expense ratio with a zero exit load.
Returns show 24-30% for one-year and 36.69% for three-year CAGR. Minimum investment starts at just ₹100 for both SIP and lump sum,m making it highly accessible. The fund currently accepts fresh investments subject to available headroom within regulatory limits.
Navi NASDAQ 100 FoF offers the lowest expense ratio in the category at 0.16%. Launched in March 2022 with ₹1,061 crore AUM, it invests in iShares NASDAQ 100 UCITS ETF. One-year returns range from 27-29% while three-year CAGR reaches 34-36%. The fund demonstrates strong risk-adjusted returns witha 1.09 Sharpe ratio.
Minimum SIP starts at ₹100 with zero exit load. Daily, weekly, and monthly SIP frequencies are available along with a step-up SIP facility. The fund remains open for investment, providing cost-conscious investors with viable NASDAQ exposure.
Expense ratio comparison reveals significant cost differences
The double expense layer in Fund of Funds structures creates material cost differences that compound over long investment horizons. Direct index funds like ICICI Prudential NASDAQ 100 Index charge only one layer of expenses at 0.61%.
Navi NASDAQ 100 FoF charges 0.16% atthe the fund level,l plus approximately 0.07% for the underlying iShares ETF, totalling around 0.23% effective cost. Kotak NASDAQ 100 FoF charges 0.24% plus an underlying cost of roughly 0.07%, totalling 0.31%. Motilal Oswal NASDAQ 100 FoF charges 0.22% plus 0.58% for the underlying ETF, totalling approximately 0.80%.
Compared with direct US ETF investments in QQQ at 0.18% or QQQM at 0.15%, Indian funds charge 2-5x higher ongoing costs. However, direct US investment entails additional foreign exchange conversion costs of 0.5-1.5%, bank transfer fees, and a 20% TCS on remittances above ₹10 lakh.
Long-term impact becomes significant. On ₹10 lakh invested for 20 years at a 15% annual return, the difference between 0.23% and 0.80% expense ratios results in approximately ₹8-10 lakh less corpus. Cost-conscious investors should prioritise Navi or Kotak FoFs over Motilal Oswal for fresh investments.
Active funds charge higher fees, reflecting the manager's discretion. ICICI Prudential US Bluechip charges 1.17%, Franklin India Feeder US Opportunities charges 0.61%, DSP US Flexible Equity charges 1.46%, and Edelweiss US Technology FoF charges 0.73%. These costs may be justified if funds consistently outperform passive alternatives.
Return comparison with direct investment shows tracking gaps.
Indian NASDAQ funds have generally trailed the underlying index by 1-3% annually due to expenses, cash drag, and FoF structure costs. Currency movements also create variations between INR-adjusted and USD returns.
Navi NASDAQ 100 FoF delivered 27-29% one-year returns, outperforming the category average. ICICI Prudential NASDAQ 100 Index Fund returned 27-29% for one year and 35.74% three-year CAGR. Kotak NASDAQ 100 FoF returned 24-30% one year and 36.69% three-year CAGR. Motilal Oswal NASDAQ 100 FoF showed wider variation with 11-23% one-year returns due to NAV timing differences.
The QQQ ETF returned approximately 20-21% in USD over one year. When adjusted for rupee depreciation of 4-5% annually, Indian fund returns appear higher in INR terms. This currency tailwind acts as a natural hedge against INR weakness for Indian investors.
Risk metrics for leading funds show a tandard deviation of 22-24, ,r eflecting NASDAQ's inherent volatility. Sharpe ratios range from 0.88 to 1.09, indicating reasonable risk-adjusted returns. The maximum drawdown in 2022 was approximately 33%, aligning with the NASDAQ-100's performance during the tech selloff.
Tax efficiency analysis for international mutual funds
Indian mutual funds investing in US stocks are classified as non-equity funds for tax purposes because they don't meet the 65% domestic equity threshold. Budget 2024 significantly revised the taxation framework,k effective from July 2024.
Long-term capital gains apply to holdings held for more than 24 months at a 12.5% flat rate, without indexation benefits. Short-term capital gains on holdings held for less than 24 months are taxed at the individual's income tax slab rate, which can reach 30% plus surcharge. The ₹1.25 lakh LTCG exemption available for domestic equity funds does not apply to international funds.
This creates essential planning implications. Investors should maintain holdings beyond 24 months to qualify for the lower 12.5% LTCG rate. Systematic withdrawal plans should be structured to optimise tax efficiency. The absence of indexation makes these funds less tax-efficient than debt funds for very long holding periods.
A critical distinction from direct US investment is the estate tax treatment. Indian mutual funds investing in US stocks carry no US estate tax exposure since assets are held at the fund level. Direct US stock holdings are subject to a 40% estate tax on amounts exceeding $60,000 for non-US residents. The India-US tax treaty does not cover estate tax, creating significant liability for large portfolios.
Dividend treatment also differs. US dividend withholding of 25% under the India-US DTAA is absorbed at the fund level for mutual funds; for direct investments, individuals must file Form 67 to claim the Foreign Tax Credit. Mutual funds significantly simplify this compliance burden.
SIP availability and investment minimums vary across funds
Most NASDAQ-focused funds offer SIP facility with minimum amounts ranging from ₹100 to ₹500. However, regulatory constraints have affected the availability of several popular options.
Kotak NASDAQ 100 FoF and Navi NASDAQ 100 FoF accept SIP investments starting at ₹100. Both offer daily, weekly, and monthly frequency options along with a step-up SIP facility. These represent the most accessible options for systematic investors in early 2026.
ICICI Prudential US Bluechip Equity Fund accepts SIP from ₹100 with multiple frequency options. As an open-ended actively managed fund, it offers an alternative for investors who prefer regular investments.
Motilal Oswal NASDAQ 100 FoF has suspended all new SIP registrations effective January 5, 2025. Existing SIPs can continue until they reach the regulatory ceiling, but new investors cannot start SIPs in this fund at this time.
ICICI Prudential NASDAQ 100 Index Fund has also suspended fresh investments, including SIPs. Investors seeking direct index fund exposure must wait for regulatory headroom to become available.
Franklin India Feeder US Opportunities and DSP US Flexible Equity accept SIPs subject to available capacity. Edelweiss US Technology Equity FoF offers a monthly SIP option. Minimum lump sum investments typically range from ₹100 to ₹5,000 across various funds.
SEBI regulatory constraints continue affecting fund availability
The $7 billion industry-wide overseas investment limit established in 2008 remains fully utilised, forcing most international funds to restrict fresh investments. An additional $1 billion ETF-specific limit was exhausted in April 2024.
In January 2025, Motilal Oswal AMC halted new SIP investments in the NASDAQ 100 FoF and the S&P 500 Index Fund. In December 202,5 PGIM India suspended three international Fund of Funds. Several other AMCs operate with limited capacity, ty accepting investments only when headroom becomes available through redemptions.
RBI Governor Shaktikanta Das indicated in December 2024 that limit increases will only be considered once the rupee demonstrates durable stability. Given the currency's decline to ₹91.53 per dollar in early 2026, immediate relief appears unlikely.
Investors seeking fresh NASDAQ exposure should focus on Navi NASDAQ 100 FoF and Kotak NASDAQ 100 FoF, which remain open. ICICI Prudential US Bluechip offers an actively managed alternative with diversified sector exposure. For amounts exceeding $ 60,000, consider the estate tax implications and potential benefits of UCITS-based FoFs such as Kotak.
Alternative routes include direct US investment through LRS, with a $250,000 annual limit per individual. Platforms like Winvesta, Vested, and INDmoney enable direct purchases of QQQ or QQQM ETFs at lower ongoing expense ratios, though foreign exchange and compliance costs apply.
For a step-by-step walkthrough of the direct investment process, including LRS compliance and platform selection, read our beginner's guide on how to invest in the US stock market from India.
The right choice depends on investment size, tax situation, and estate planning needs.
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
No h1 or h2 headings found in this article.
Indian investors seeking US tech exposure through domestic mutual funds face an evolving landscape in 2026.
For investors considering direct ETF purchases instead of mutual funds, our comprehensive guide on investing in US stocks through ETFs from India covers QQQ, VOO, and other popular options with detailed cost comparisons.
SEBI's $7 billion overseas investment cap continues to restrict fresh investments in many popular funds. However, several options remain open, including Kotak NASDAQ 100 FoF, Navi NASDAQ 100 FoF, and actively managed alternatives. This comprehensive guide covers all available NASDAQ-focused funds with current expense ratios, returns, tax implications, and SIP availability.
The NASDAQ-100 delivered approximately 21% returns in 2025, continuing its strong performance streak. Indian mutual funds tracking this index have delivered a 34-38% three-year CAGR, outperforming most domestic equity categories. The rupee's 4-5% annual depreciation against the dollar adds currency tailwinds to these returns for Indian investors.
Complete list of NASDAQ-focused mutual funds in India
Indian investors can access NASDAQ exposure through three distinct fund structures. Fund of Funds invests in underlying US or Ireland-domiciled ETFs. Direct index funds hold NASDAQ-100 constituents directly. Actively managed funds select US stocks based on the fund manager's discretion.
The passive NASDAQ tracking funds include Motilal Oswal NASDAQ 100 FoF with ₹6,159 crore AUM, Kotak NASDAQ 100 FoF with ₹3,770 crore AUM, Navi NASDAQ 100 FoF with ₹1,061 crore AUM, and ICICI Prudential NASDAQ 100 Index Fund with ₹2,622 crore AUM. Among these, Motilal Oswal and ICICI Prudential have suspended fresh investments, while Kotak and Navi remain open.
Active funds with significant US exposure include ICICI Prudential US Bluechip Equity Fund with ₹3,521 crore AUM, Franklin India Feeder US Opportunities Fund with ₹4,465 crore AUM, Edelweiss US Technology Equity FoF with ₹3,640 crore AUM, and DSP US Flexible Equity Fund with ₹1,091 crore AUM. These funds provide diversified exposure to the US market beyond pure NASDAQ tracking.
The Motilal Oswal NASDAQ 100 ETF trades on Indian exchanges with ₹11,317 crore AUM and 0.58% expense ratio. However, unit creation restrictions due to regulatory limits affect liquidity and premium/discount dynamics. Investors should monitor the NAV against the market price before trading.
Motilal Oswal NASDAQ 100 FoF leads the category.
India's largest NASDAQ-focused mutual fund launched on November 29, 2018 and has accumulated ₹6,159 crore in assets. The fund invests entirely in Motilal Oswal NASDAQ 100 ETF, which directly holds NASDAQ-100 constituent stocks.
Performance metrics demonstrate strong returns. One-year returns range from 11% to 23%, depending on the calculation date. Three-year CAGR reaches 36-38%. Five-year CAGR stands at 19-20%. Since its inception, the fund has delivered 25.18% CAGR, making it one of the best-performing international funds.
The direct plan charges 0.22% expense ratio while the regular plan charges 0.58%. The underlying ETF carries a 0.58% expense ratio, resulting in a total effective cost of approximately 0.80% for FoF investors. This stacked expense structure is inherent to all Fund of Funds investing in domestic ETFs.
The minimum investment is just ₹500 for both SIP and lump-sum. An exit load of 1% applies to redemptions within 15 days. The fund is managed by Swapnil Mayekar, Rakesh Shetty, and Dishant Mehta.
However, the fund has suspended all fresh investments, including new SIP registrations, effective January 5, 2025, due to SEBI's overseas investment limits. Existing investors may continue to hold or redeem without restrictions, but may not add new money.
ICICI Prudential offers two distinct US strategies
ICICI Prudential US Bluechip Equity Fund provides actively managed, diversified exposure to the US healthcare, consumer, industrials, and technology sectors. Launched July 6, 2012, this ₹3,521 crore fund deliberately avoids heavy concentration in Magnificent Seven stocks.
The fund benchmarks against the S&P 500 TRI rather than the NASDAQ-100, reflecting its broader mandate. Top holdings include Huntington Ingalls Industries at 3.20%, Alphabet Class C at 3.04%, Estee Lauder at 2.91%, and Agilent Technologies at 2.90%. Technology accounts for only 8-10% of the portfolio, compared with 50%+ in NASDAQ-tracking funds.
One-year returns range from 16-21%, while three-year CAGR stands at 19.84%, and five-year CAGR reaches 14-15%. The 1.17% expense ratio reflects active management costs. An exit load of 1% applies to redemptions within 31 days. This fund remains open to new investments following the July 2025 reopening.
ICICI Prudential NASDAQ 100 Index Fund, launched on October 18, 2021, operates differently as a direct index fund. It holds NASDAQ-100 constituents directly rather than through a fund-of-funds structure. With ₹2,622 crore in AUM and a 0.61% expense ratio, it delivered 27-29% one-year returns and a 34-36% three-year CAGR.
The direct structure eliminates the double-layer expense structure of FoFs, but the fund has suspended new investments due to regulatory constraints. Existing investors can continue to make redemptions and switches, but cannot add new capital.
Kotak and Navi emerge as accessible alternatives.
With major funds closed, Kotak NASDAQ 100 FoF and Navi NASDAQ 100 FoF have become primary options for investors seeking passive NASDAQ exposure.
Kotak NASDAQ 100 FoF manages ₹3,770 crore in assets and invests in iShares NASDAQ 100 UCITS ETF domiciled in Ireland. This structure distinguishes it from domestic ETF-based FoFs and may offer potential estate tax benefits for large portfolios. Managed by Arjun Khanna and Abhishek Bisen since Febthe the, the fund charges a 0.24% expense ratio with a zero exit load.
Returns show 24-30% for one-year and 36.69% for three-year CAGR. Minimum investment starts at just ₹100 for both SIP and lump sum,m making it highly accessible. The fund currently accepts fresh investments subject to available headroom within regulatory limits.
Navi NASDAQ 100 FoF offers the lowest expense ratio in the category at 0.16%. Launched in March 2022 with ₹1,061 crore AUM, it invests in iShares NASDAQ 100 UCITS ETF. One-year returns range from 27-29% while three-year CAGR reaches 34-36%. The fund demonstrates strong risk-adjusted returns witha 1.09 Sharpe ratio.
Minimum SIP starts at ₹100 with zero exit load. Daily, weekly, and monthly SIP frequencies are available along with a step-up SIP facility. The fund remains open for investment, providing cost-conscious investors with viable NASDAQ exposure.
Expense ratio comparison reveals significant cost differences
The double expense layer in Fund of Funds structures creates material cost differences that compound over long investment horizons. Direct index funds like ICICI Prudential NASDAQ 100 Index charge only one layer of expenses at 0.61%.
Navi NASDAQ 100 FoF charges 0.16% atthe the fund level,l plus approximately 0.07% for the underlying iShares ETF, totalling around 0.23% effective cost. Kotak NASDAQ 100 FoF charges 0.24% plus an underlying cost of roughly 0.07%, totalling 0.31%. Motilal Oswal NASDAQ 100 FoF charges 0.22% plus 0.58% for the underlying ETF, totalling approximately 0.80%.
Compared with direct US ETF investments in QQQ at 0.18% or QQQM at 0.15%, Indian funds charge 2-5x higher ongoing costs. However, direct US investment entails additional foreign exchange conversion costs of 0.5-1.5%, bank transfer fees, and a 20% TCS on remittances above ₹10 lakh.
Long-term impact becomes significant. On ₹10 lakh invested for 20 years at a 15% annual return, the difference between 0.23% and 0.80% expense ratios results in approximately ₹8-10 lakh less corpus. Cost-conscious investors should prioritise Navi or Kotak FoFs over Motilal Oswal for fresh investments.
Active funds charge higher fees, reflecting the manager's discretion. ICICI Prudential US Bluechip charges 1.17%, Franklin India Feeder US Opportunities charges 0.61%, DSP US Flexible Equity charges 1.46%, and Edelweiss US Technology FoF charges 0.73%. These costs may be justified if funds consistently outperform passive alternatives.
Return comparison with direct investment shows tracking gaps.
Indian NASDAQ funds have generally trailed the underlying index by 1-3% annually due to expenses, cash drag, and FoF structure costs. Currency movements also create variations between INR-adjusted and USD returns.
Navi NASDAQ 100 FoF delivered 27-29% one-year returns, outperforming the category average. ICICI Prudential NASDAQ 100 Index Fund returned 27-29% for one year and 35.74% three-year CAGR. Kotak NASDAQ 100 FoF returned 24-30% one year and 36.69% three-year CAGR. Motilal Oswal NASDAQ 100 FoF showed wider variation with 11-23% one-year returns due to NAV timing differences.
The QQQ ETF returned approximately 20-21% in USD over one year. When adjusted for rupee depreciation of 4-5% annually, Indian fund returns appear higher in INR terms. This currency tailwind acts as a natural hedge against INR weakness for Indian investors.
Risk metrics for leading funds show a tandard deviation of 22-24, ,r eflecting NASDAQ's inherent volatility. Sharpe ratios range from 0.88 to 1.09, indicating reasonable risk-adjusted returns. The maximum drawdown in 2022 was approximately 33%, aligning with the NASDAQ-100's performance during the tech selloff.
Tax efficiency analysis for international mutual funds
Indian mutual funds investing in US stocks are classified as non-equity funds for tax purposes because they don't meet the 65% domestic equity threshold. Budget 2024 significantly revised the taxation framework,k effective from July 2024.
Long-term capital gains apply to holdings held for more than 24 months at a 12.5% flat rate, without indexation benefits. Short-term capital gains on holdings held for less than 24 months are taxed at the individual's income tax slab rate, which can reach 30% plus surcharge. The ₹1.25 lakh LTCG exemption available for domestic equity funds does not apply to international funds.
This creates essential planning implications. Investors should maintain holdings beyond 24 months to qualify for the lower 12.5% LTCG rate. Systematic withdrawal plans should be structured to optimise tax efficiency. The absence of indexation makes these funds less tax-efficient than debt funds for very long holding periods.
A critical distinction from direct US investment is the estate tax treatment. Indian mutual funds investing in US stocks carry no US estate tax exposure since assets are held at the fund level. Direct US stock holdings are subject to a 40% estate tax on amounts exceeding $60,000 for non-US residents. The India-US tax treaty does not cover estate tax, creating significant liability for large portfolios.
Dividend treatment also differs. US dividend withholding of 25% under the India-US DTAA is absorbed at the fund level for mutual funds; for direct investments, individuals must file Form 67 to claim the Foreign Tax Credit. Mutual funds significantly simplify this compliance burden.
SIP availability and investment minimums vary across funds
Most NASDAQ-focused funds offer SIP facility with minimum amounts ranging from ₹100 to ₹500. However, regulatory constraints have affected the availability of several popular options.
Kotak NASDAQ 100 FoF and Navi NASDAQ 100 FoF accept SIP investments starting at ₹100. Both offer daily, weekly, and monthly frequency options along with a step-up SIP facility. These represent the most accessible options for systematic investors in early 2026.
ICICI Prudential US Bluechip Equity Fund accepts SIP from ₹100 with multiple frequency options. As an open-ended actively managed fund, it offers an alternative for investors who prefer regular investments.
Motilal Oswal NASDAQ 100 FoF has suspended all new SIP registrations effective January 5, 2025. Existing SIPs can continue until they reach the regulatory ceiling, but new investors cannot start SIPs in this fund at this time.
ICICI Prudential NASDAQ 100 Index Fund has also suspended fresh investments, including SIPs. Investors seeking direct index fund exposure must wait for regulatory headroom to become available.
Franklin India Feeder US Opportunities and DSP US Flexible Equity accept SIPs subject to available capacity. Edelweiss US Technology Equity FoF offers a monthly SIP option. Minimum lump sum investments typically range from ₹100 to ₹5,000 across various funds.
SEBI regulatory constraints continue affecting fund availability
The $7 billion industry-wide overseas investment limit established in 2008 remains fully utilised, forcing most international funds to restrict fresh investments. An additional $1 billion ETF-specific limit was exhausted in April 2024.
In January 2025, Motilal Oswal AMC halted new SIP investments in the NASDAQ 100 FoF and the S&P 500 Index Fund. In December 202,5 PGIM India suspended three international Fund of Funds. Several other AMCs operate with limited capacity, ty accepting investments only when headroom becomes available through redemptions.
RBI Governor Shaktikanta Das indicated in December 2024 that limit increases will only be considered once the rupee demonstrates durable stability. Given the currency's decline to ₹91.53 per dollar in early 2026, immediate relief appears unlikely.
Investors seeking fresh NASDAQ exposure should focus on Navi NASDAQ 100 FoF and Kotak NASDAQ 100 FoF, which remain open. ICICI Prudential US Bluechip offers an actively managed alternative with diversified sector exposure. For amounts exceeding $ 60,000, consider the estate tax implications and potential benefits of UCITS-based FoFs such as Kotak.
Alternative routes include direct US investment through LRS, with a $250,000 annual limit per individual. Platforms like Winvesta, Vested, and INDmoney enable direct purchases of QQQ or QQQM ETFs at lower ongoing expense ratios, though foreign exchange and compliance costs apply.
For a step-by-step walkthrough of the direct investment process, including LRS compliance and platform selection, read our beginner's guide on how to invest in the US stock market from India.
The right choice depends on investment size, tax situation, and estate planning needs.
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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Invest in 11,000+ US stocks & ETFs
