How to Start Investing in US Stocks from India 2025

 How to Start Investing in US Stocks from India (2025 Guide)

Introduction

Have you ever wished to invest in companies like Apple, Amazon, Google, or Tesla? The good news is, you don’t need to live in the USA to invest in its stock market. In 2025, it's easier than ever for Indian investors to buy US stocks directly from India.

In this article, we’ll guide you on how to start investing in US stocks from India, including the benefits, process, taxation, and best platforms available in 2025.

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🌍 Why Invest in US Stocks from India?

Here are some key reasons Indian investors are looking west:

• Global Diversification: Reduces dependence on the Indian economy

• Strong Dollar Returns: Earn in USD, which appreciates against INR over time

• World-Class Companies: Invest in global giants like Microsoft, Meta, NVIDIA

• Access to New Sectors: AI, SaaS, EVs, Biotech, etc.

• Better Innovation & Stability: The US stock market offers higher transparency and mature regulations

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📝 Things to Know Before You Start

Before you jump in, here are some quick facts:

• You can legally invest in US stocks under the Liberalised Remittance Scheme (LRS)

• Indians can invest up to $250,000 per year abroad (as per RBI rules)

• Investment is allowed only in listed stocks and ETFs (not crypto or unlisted firms)

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🧭 Step-by-Step Guide: How to Start Investing in US Stocks from India

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✅ Step 1: Choose the Right Investment Platform

You need a platform that offers access to US markets. Here are your top options:

1. Indian Platforms with US Tie-ups

• Groww

• INDmoney

• Vested

• Kuvera

• 5paisa Global Investing

These platforms simplify KYC, allow fractional investing, and often come with zero account-opening fees.

These platforms simplify KYC, allow fractional investing, and often come with zero account-opening fees.

2. Global Brokerage Platforms

Interactive Brokers

Charles Schwab

TD Ameritrade

You’ll need to submit KYC and fund the account via international wire transfer.

➡️ Tip: Indian platforms are easier for beginners. Global platforms offer more advanced features and lower FX fees.

✅ Step 2: Complete KYC & Open an Account

You'll need the following documents:

PAN Card

Aadhaar Card or Passport

Bank Account (preferably with international transfer capability)

Signature and a selfie

The account usually gets activated in 1–3 days.

✅ Step 3: Fund Your US Brokerage Account

You can fund your account via:

Bank wire transfer (SWIFT)

Remittance through your Indian bank (under LRS)

👉 Indian platforms like Vested and INDmoney integrate with banks like ICICI, HDFC, and YES Bank to make funding easier.

💰 Note: Forex conversion charges, SWIFT charges, and transfer fees apply (₹1000–2500 typically).

✅ Step 4: Start Investing in US Stocks

Once your account is funded, you can:

Buy whole or fractional shares (e.g., invest ₹500 in Apple)

Invest in ETFs like S&P 500 (SPY), Nasdaq 100 (QQQ), or sector-specific funds

Diversify across multiple industries (Tech, Healthcare, Energy, etc.)

🧠 Important: Start small and diversify to reduce risk.

💡 Fractional Shares – A Game Changer

Many US stocks like Amazon or Tesla are expensive ($1000+). But with fractional investing, you can buy 0.01 or 0.1 of a share with just a few dollars.

Example: Want to invest ₹500 in Amazon stock (worth $3500)? You can own a fraction of a share!

Company	Sector
Apple	Technology
Tesla	Electric Vehicles
Microsoft	Cloud & Software
Nvidia	AI & Semiconductors
Amazon	E-commerce & Cloud
Google (Alphabet)	Search & AI
Coca-Cola	Consumer Goods
Johnson & Johnson	Healthcare

You can also invest in ETFs like:

• SPY (S&P 500 Index)

• QQQ (Nasdaq 100)

• ARKK (Innovation ETF)

• VTI (Total US Stock Market)

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💸 Taxation on US Stock Investments

Understanding tax rules is crucial.

In the USA:

• Dividend Tax: 25% (deducted at source, no filing needed)

• Capital Gains Tax: Only applicable if you exceed the US threshold (rare for Indians)

In India:

• Capital Gains Tax:

  • Short-Term (<24 months): Taxed as per your income slab

  • Long-Term (≥24 months): 20% with indexation benefits

• Dividend Income: Taxed as per income slab

• Double Taxation Avoidance Agreement (DTAA): You won’t be taxed twice on the same income

🧾 Tip: Keep track of all transactions for ITR filing under Schedule FA (Foreign Assets) in India.

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🚫 Risks to Consider

• Currency Risk: USD–INR rate fluctuations can impact returns

• Regulatory Changes: RBI and SEBI rules may evolve

• Foreign Transaction Fees: Can reduce actual returns

• Stock Market Volatility: Just like Indian stocks, US markets also fluctuate

➡️ Always do your research, and never invest money you can’t afford to lose.

Platform	Min Investment	Fractional Shares	Charges	Type
Groww	₹1	✅ Yes	Low FX Fees	Indian
Vested	₹100	✅ Yes	₹0 Account Fee	Indian
INDmoney	₹100	✅ Yes	₹0 Commission	Indian
Interactive Brokers	$0	✅ Yes	Low Trading Fee	Global
Charles Schwab	$0	❌ No	Wire Transfer Only	Global

Conclusion

Investing in US stocks from India in 2025 is easier, safer, and smarter than ever before. With global companies leading innovation and strong USD returns, it’s a great way to diversify your portfolio and grow wealth.

Follow the steps above:

1. Choose a trusted platform

2. Complete KYC and fund your account

3. Start investing in global giants and ETFs

Stay informed, track your portfolio, and invest consistently—your financial future will thank you.