How to buy international stocks from India

June 12, 2025

Abdul Latheef Sheikh

Businessman in a suit interacting with a digital interface, touching a glowing circular button, with financial charts, graphs, and a world map in the background representing global business and data analysis.

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Overseas investment opportunities are getting increasingly popular among Indian investors thanks to the sophistication of technology and the growing fintech space. Global brands such as Apple, Amazon, Tesla, Sony, Microsoft, and other giant companies offer their stocks to investors worldwide. Modern technologies make it accessible for all, including India, to facilitate investing in international stocks. The widespread influence of global companies has enabled investors to generate a return by investing in these growing portfolios.

Despite regular participation in the stock market in India, many Indian investors are focusing on expanding their wealth portfolio through other sectors, including international options. Indian investors can diversify their portfolios through national and international stocks. However many investors are still wondering how to buy international stocks from India.

From a global perspective, investing in international stocks may open a number of investment opportunities for investors which are not available in the Indian stock market. It will facilitate investors to be part of the journey and earn more potential returns by investing in global tech and other industry-leading companies, along with diversifying geographical risk. In this guide, you will find a detailed overview of how to diversify your investment portfolio through international stocks.

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Methods to buy foreign stocks in India

Investing in the Indian stock market can be done through any Indian stock exchange, including the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). However, Indian investors are unable to invest in foreign exchange through these stock exchanges. Instead, they can invest in foreign stocks in the following possible ways:

1. Direct

Direct investment is a type of investment that allows Indian investors to directly own shares/stocks of foreign companies listed on international stock exchanges. Investors can facilitate investing by opening an international brokerage account complying with foreign exchange regulations.

Steps to Start Direct Investment

Open a brokerage account through a renowned international brokerage firm that offers access to the international equity market. Ensure that the brokerage complies with Indian and international regulations. Investors can also opt for other brokerage platforms to begin investing in international stocks.

Complete the account opening process by verifying all the necessary documents. Fund the brokerage using Indian rupees, which will be converted into foreign currency for trading.

Research and analyse foreign companies, and invest in stocks that have the potential to earn returns. Regular monitoring and management of the portfolio may help to improve the wealth creation process.

Indian residents can only purchase overseas stocks with less than 10% of the stake. Indian investors can make overseas investments within the overall Liberalised Remittance Scheme (LRS) limit; that is, Indian residents can use up to $250,000 per financial year. Investments under the LRS limit do not require any reporting under the new framework.

Indian investors can open overseas trading accounts through Indian brokerage partners who work with international brokers like ICICI Direct, Axis Securities, HDFC Securities, and others. Investors can also choose from foreign brokers with a presence in India, such as Interactive Brokers and Ameritrade.

2. Indirect

Indirect investments are international investments made through mutual funds, exchange-traded funds, global depository receipts, or listed bonds of foreign governments. These are some of the indirect ways to invest in foreign stocks from India.

Mutual funds – Mutual funds are actively managed by the fund managers. Investors can opt to invest in international mutual funds through the equities of companies listed on the global stock exchange. Investors can also concentrate on investing in specific sectors, regions, or specifically emerging companies. SBI Magnum Global Fund and Kotak Global Emerging Market Fund are some of the examples. Mutual funds such as Parag Parikh Flexi Cap Fund and Axis Growth Opportunities funds are investing some part of their portfolios in global companies.

Exchange-traded funds – Indian investors can invest in ETFs through Indian exchanges that adhere to foreign exchange guidelines. There are several international exchange-traded funds available that offer access to Nasdaq and other global indices such as N100 which can be bought from Indian stock exchanges and mimic the movement of Nasdaq an American tech-focused stock index.

3. Global Depository Receipts (GDRs)

GDRs provide indirect exposure to the international stock listed on the global exchanges. GDRs are certificates issued by international banks that support international stock exchanges. These are listed and traded on international stock exchanges, such as the London Stock Exchange and others.

There are two types of GDRs: sponsored and unsponsored.

Sponsored GDRs : Sponsored GDRs are issued with the consent and support of the foreign financial institution whose shares underlie the GDRs. This form of GDR is issued in collaboration with an international bank acting as a depository.

Unsponsored GDRs: These are certificates that are issued without the company’s direct involvement, usually by financial institutions.

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Platforms to invest in international stocks

There are multiple platforms available to buy foreign stocks in India. When investing in international stocks, choosing the right platform is crucial. These platforms offer access to the international market, ensuring a diverse range of opportunities. Investors must choose a platform that provides a seamless user interface, rational fees, and research tools. Moreover, they should ensure that the brokerage platform aligns with compliance and regulations. Go through the multitude of platform options and choose the ideal one to navigate the complexities of international stock investing.

International brokerage platforms

International brokerage platforms are investment platforms that offer access to global platforms. These platforms may also have a presence in India to facilitate smooth investment operations. Some of the popular international brokerage platforms are listed below:

1. Interactive brokers

Interactive Brokers is an American multinational brokerage firm that has a global presence. It helps to assist investors in India to invest in the international stock market. Investors can invest in some of the major exchanges, such as NASDAQ, New York Stock Exchange, London Stock Exchange, and more. This platform offers advanced trading tools and comparative prices. Investors can use this by simply creating a brokerage account on their platform.

2. Alpaca Trading

Alpaca is a legitimate international trading platform that is overseen by US regulators. This platform offers API tools for algorithmic trading, ETFs, cryptos, and other options. Alpaca provides a friendly user interface and is ideal for those who are looking for easy-to-use APIs.

There are many other international brokerage platforms. When investing in international stocks, investors must look for factors such as available markets, research tools, fees, regulatory frameworks, and others.

Domestic brokerage platforms

Investments in international stocks can also be made through domestic brokerage platforms in India. Domestic brokerage platforms are government-regulated banks or financial institutions that offer access to investing in international stocks through partnerships with global authorities and market providers. The following are the popular domestic brokerage platforms to invest in foreign stocks from India.

1. ICICI Direct Global Investment

ICICI Direct Global Investing is an initiative launched by ICICI Bank that enables Indian investors to invest in stocks traded on international stock exchanges such as the NYSE and NASDAQ.

2. Axis Direct Global Investing

Similar to ICICI Direct Global Investing, Axis Bank also offers foreign investment opportunities to Indian residents through this initiative. It offers various research and analysis tools to optimise trading decisions.

Several other banking and financial institutions offer international stock investment options. Investors should consider the fees, regulatory compliance, currency conversion charges, tax implications, and customer service quality before investing.

Mobile trading platforms

Mobile trading platforms are platforms that offer access to investing using smartphones. Most international brokers provide mobile applications to enable seamless trading facilities. The mobile application of the international brokers has the same facilities as their website. However, there may be some limitations on some features of mobile applications. A holistic approach to building an investment portfolio can be achieved using a mobile version. Some of the mobile applications of international brokerage platforms are given below:

1. Interactive Brokers (IBKR Mobile)

IBKR Mobile is the app version of Interactive Brokers. Interactive Brokers is a well-renowned brokerage platform to access global stocks for Indian investors. The mobile version allows investors to stay connected to the global market and manage their wealth portfolios from anywhere.

The mobile version is available for both iOS and Android users. This application allows users to invest in stocks, options, futures, and forex across the global markets. It also evaluates real-time market data to facilitate effective trading or investment options.

IBKR Mobile is available for each version, including Apple Watches and iPads. Each version is designed to manage the capabilities of their respective devices while offering robust trading features.

2. Schwab Mobile

Schwab Mobile is designed to provide brokerage and investment opportunities directly through mobile devices to Charles Schwab clients. It has a robust platform for investors to diversify their portfolios and trade these securities.

The key features of Schwab Mobile are account management, trading, research and analysis, and customer support. It facilitates all the functions in one single application.

Schwab is available for Android and iOS devices. Users can download the application through their respective Play Stores. Investors can create and log in to their accounts to begin trading and investing from anywhere in the world.

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Things to look for while investing in foreign stocks

Investing in international stocks necessitates careful consideration of many factors. Taking these factors into account may assist in making more informed decisions and managing potential risks. The following are the factors to consider when investing in international stocks:

1. Regulatory requirements

Indian investors are required to comply with the regulatory framework imposed by the Reserve Bank of India (RBI) and the Securities and Exchange Board of India (SEBI) under the Foreign Exchange Management Act (FEMA).

2. Tax Implications

Understanding the dynamics of tax implications while investing in stocks may help to manage wealth efficiently. Ensure to optimise the investment portfolio in compliance with Indian and foreign tax laws.

3. Currency Exchange Rates

Currency exchange rates fluctuate due to a variety of factors, including economic conditions, market trends, and others. Exchange rate fluctuations can have an impact on investment returns. Manage the exchange rate risk between the Indian rupee and the corresponding foreign exchange currency. Counteracting the effects of market volatility could be achieved by putting possible strategies into practice and adjusting to currency trends.

4. Costs and fees

When making your first investments in foreign stocks, keep an eye on the broking platform’s fee structures. Costs and fees include transaction costs, currency conversion fees, brokerage commissions, and other related expenses. Examine prices on several platforms and choose the one that offers the lowest costs and the highest returns on investment.

5. Liquidity and accessibility

Compare the liquidity and accessibility of the foreign stock markets, as some markets may have lower trading volumes, which can highly impact trade execution and price volatility. Therefore, choose a brokerage that offers high liquidity and access to global stock exchanges.

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Conclusion

This guide was crafted considering all those factors. As we have mentioned above, Indian investors can participate in investing in foreign stocks through reputed brokers who comply with the regulatory framework of India. Investors can own shares as well as diversify their investment portfolio by investing in mutual funds and other securities. However, they can only hold a 10% stake in a stock and only under the LRS limit.

Investors can trade or invest in foreign stocks through multiple accounts with the help of international brokerage platforms and domestic brokerage platforms. While investing in international brokers, investors must make sure that they are in compliance with the regulations and have the potential to maximise returns with minimal investment. Investors can also opt for domestic brokerages such as ICICI and Axis Global Investment. Investors can also use mobile platforms to invest in foreign stocks, ensuring access to global markets from anywhere in the world.

On the other hand, investors must ensure that these brokerage platforms comply with the Indian regulatory framework governed by RBI and SEBI. Additionally, considering factors such as tax implications, costs, currency exchange rates, and others might help optimise foreign trading opportunities.

FAQs

Can I buy international stocks?

Yes, Indian residents can easily own international shares through reputed and authorised brokerages.

Is it legal to purchase foreign stocks in India?

Yes, it is legal to own international stocks. However, international stock acquisitions must comply with the regulations.

Can I purchase foreign stocks through banks?

Yes, HDFC, ICICI, Axis, and other banks are offering global investment options through their initiative.

How many international stocks can I own from India?

Indian residents can own up to 10% of the equity capital of the share.

Disclaimer:
The information provided on this blog is for general informational and educational purposes only and is not intended as financial, investment, legal, or tax advice. While we strive to ensure accuracy, completeness, and timeliness, the financial world is dynamic, and content may become outdated or subject to change. Always conduct your own research or consult with a qualified financial advisor before making any investment or financial decisions. The authors and publishers of this blog are not liable for any losses or damages arising from the use or reliance on the information presented.

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ABOUT AUTHOR

Abdul Latheef K is a Researcher at Jawaharlal Nehru University, New Delhi. He is also an Author, Educator, and Expert in personal finance and Investment. His areas of interest comprise the Stock Market, foreign capital flows, and Open Economy Macroeconomics.

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