Investing in the US markets gives you the opportunity to benefit from US equity market returns. Having a diverse basket of funds from Indian and US markets will help you get the best of both worlds. It strengthens your portfolio amidst the US dollar against Indian rupee battle.
International Fund of Funds is also recommended because…
- They enable investing in the S&P 500 and getting Dollar returns, but through funds which are Rupee denominated.
- This route enables efficient access to a Rupee denominated mutual fund. This means you’ll have easy entry and exit from the fund, and get Dollar-equity returns at the same time.