Bengaluru-based Zerodha plans to roll out US equity investments for its clients in the coming quarter, Kamath said during an ‘Ask Me Anything’ session on the company’s official platform. “A lot of people have tagged me on social media asking about the US investment thing. We are working on it and we should have something in the next quarter, it’s a product launch,” Kamath said.
The move comes after years of speculation and delays. Kamath had first spoken about allowing investments in the US markets in 2020, but later admitted that the COVID-19 pandemic had stalled efforts.
Also read | $7 billion deals in banks and NBFCs by 2025. Sign of banking reforms ahead?
Regulatory green light via GIFT City
Kailash Nadh, Chief Technology Officer of Zerodha, said the company has finally received the required regulatory clarity from GIFT City, the financial hub of Gujarat that facilitates offshore investment products. “It has been a long time coming. We now have the necessary regulatory clarity through GIFT City. We are trying to build a simple and seamless experience for users, both in the backend and the frontend,” said Nadh.
To provide access to US equities, Zerodha will have to partner with a US-based broker, a model already adopted by rivals such as INDMoney, which has partnered with Alpaca Broking, and 5Paisa, which has partnered with Vested.
While this move could open new doors for Indian investors looking for exposure to companies like Apple and Tesla, potential hurdles remain. The costs of remittances under the liberalized remittance regime may make investing abroad less attractive for retail investors, even as interest in international diversification grows.
Also read | Did Radhakishan Damani dump Trent? Inside the retail king’s mysterious exit from Tata’s hottest stocks
(Disclaimer: Recommendations, suggestions, views and opinions expressed by the experts are their own. These do not represent the views of the Economic Times)
#Zerodha #trading #stocks #Nithin #Kamath #launch #happen #quarter