Last Updated on Aug 17, 2026 by Durga Mishra
Investing in US stocks is no longer something reserved for hedge funds or ultra-rich investors. Today, Indian investors can own global companies like Apple, Microsoft, Amazon and Tesla with just a few clicks, sometimes starting with as little as $1.
Platforms like Tickertape now allow Indian retail investors to directly access US-listed stocks and ETFs from India. But while access has become easier, clarity has not. Between RBI regulations, taxes, TCS, forex charges and US market timings, understanding how the entire process works can still feel complicated.
That’s why this guide walks you through the step-by-step process of investing in US stocks from India using Tickertape, from setting up and funding your account to placing your first US investment.
Table of Contents
Why are Indian Investors Looking at US Stocks?
Over the past decade, major US indices have delivered strong long-term returns, particularly technology-heavy benchmarks such as the Nasdaq-100.
US vs Indian Markets: A Snapshot
| Index | 10-Year Annualised Return (Approx.) |
| S&P 500 (US) | ~13.6% |
| Nasdaq-100 (US) | ~22.3% |
| Nifty 50 (India) | ~12.6% |
Beyond returns, US investing offers sector diversification. While Indian markets are heavy on financials and energy, US markets dominate global tech, AI, cloud computing, and consumer brands.
Key reasons Indians invest in US stocks
- Exposure to large global companies
- Portfolio diversification beyond India
- Access to technology and innovation-led sectors
- Fractional investing, which allows investors to buy part of a share
- Currency diversification, with INR returns potentially benefiting when the US dollar strengthens against the rupee.
How to Invest in US Stocks From India: Step-by-Step
One of the easiest ways to invest in US stocks from India is through a regulated platform like Tickertape. Here’s how to invest in the US stock market from India, step by step.
Step 1: Create Your US Investing Account
Log in to Tickertape and head to US Stocks. Click on “Get Started” to begin the process.
Step 2: Complete KYC
Complete your KYC verification digitally using DigiLocker or upload the required documents manually. The process typically takes 15 to 30 minutes.
Step 3: Connect Your Bank Account
Link your eligible bank account to initiate remittances under the Liberalised Remittance Scheme (LRS). Currently supported banks include HDFC Bank, Axis Bank, ICICI Bank, Kotak Mahindra Bank and IDFC Bank
Step 4: Add Money to Your US Wallet
Transfer money from your bank account to your US Wallet. This can take up to 7 business days to reflect, depending on your bank.
Step 5: Make Your First Investment
Select the US stock or ETF of your choice and start investing with as little as $1.
US Investment Options for Indian Investors
- US Stocks: You can invest directly in companies listed on US exchanges, including Apple, Microsoft, NVIDIA, Amazon, Alphabet, Meta, and Tesla.
- US ETFs: Exchange-Traded Funds (ETFs) let you invest in a basket of stocks through a single investment. Popular options may include ETFs that track the S&P 500 and the Nasdaq-100.
- Fractional Shares: Fractional shares are portions of a company’s stock that are less than one full share. You can invest from as little as $1, making it easier to access high-priced US stocks without buying a full share.
Disclaimer: This is only for informational purposes and should not be considered as investment advice.
Understanding LRS and the Rules for Investing in US Stocks from India
Indian residents can legally invest in US stocks and ETFs under the Foreign Exchange Management Act (FEMA), 1999, through the Reserve Bank of India’s Liberalised Remittance Scheme (LRS). Introduced in 2004, LRS provides the framework for making overseas investments.
What Is the Liberalised Remittance Scheme (LRS)?
The Liberalised Remittance Scheme (LRS) allows resident individuals to remit up to $250,000 per financial year for permitted overseas transactions, including investments in US stocks and ETFs.
Key things to know:
- Annual limit: Up to $250,000 per financial year.
- Permitted uses: Overseas investments, education, travel, medical expenses, and other eligible transactions.
- Limit reset: The LRS limit resets on 1st April every financial year.
- Applies per individual: Each eligible family member has a separate LRS limit.
Is TCS Applicable?
Yes, if your foreign remittances exceed the prescribed threshold in a financial year, your bank may collect Tax Collected at Source (TCS) as per the prevailing Income Tax rules. TCS is not an additional tax. It can be adjusted against your final tax liability or claimed as a refund when you file your Income Tax Return (ITR).
Documents Required
Banks typically require Form A2 along with an LRS declaration for every outward remittance. Keeping your PAN, Aadhaar, and bank KYC up to date helps avoid delays when initiating a transfer.
Taxes on US Stocks for Indian Investors
Capital Gains Tax
There is generally no capital gains tax in the US for non-US resident Indian investors. For Indian resident investors, capital gains from the sale of US stocks are taxed in India, where foreign shares are generally treated as unlisted shares for tax purposes.
| Holding Period | Gain Type | Tax Rate |
| Less than 24 months | Short-Term Capital Gains (STCG) | Taxed at the investor’s applicable income tax slab rate |
| 24 months or more | Long-Term Capital Gains (LTCG) | 12.5% without indexation, plus applicable surcharge and cess |
Dividend Tax
Dividends from US stocks are subject to US withholding tax before the amount is credited to the investor’s account. The standard withholding tax rate is 30%, but it may be reduced to 25% under the India-US Double Taxation Avoidance Agreement (DTAA), subject to treaty eligibility and submission of a valid Form W-8BEN.
For example, if an investor receives a dividend of $100 and the applicable withholding rate is 25%, $25 is deducted in the US, and the remaining $75 is credited to the investor’s account. Dividend income is also taxable in India at the investor’s applicable income tax slab rate.
Foreign Tax Credit
Since dividend income may be taxed in both the US and India, investors may be able to claim the Foreign Tax Credit for the tax already withheld in the US. To claim this credit, investors need to file Form 67 and report the relevant details in Schedule TR while filing their Income Tax Return.
Form W-8BEN
Form W-8BEN is a US tax form that certifies that the investor is a non-US resident and may be eligible for treaty benefits under the India-US DTAA. Submitting this form can reduce US dividend withholding tax from 30% to 25%, subject to eligibility and documentation requirements. Most international investing platforms, including Tickertape, handle this as part of the account setup process.
Schedule FA
Indian resident taxpayers who hold US stocks during the relevant reporting period may need to disclose these holdings in Schedule FA of their Income Tax Return. This applies even to small holdings, including fractional shares. Since ITR-1 and ITR-4 do not include Schedule FA, investors holding foreign assets generally need to file ITR-2 or ITR-3, depending on their income profile.
Non-disclosure of foreign assets or foreign income may attract penalties under applicable tax laws, including the Black Money Act. Investors should consult a tax advisor for guidance based on their residential status, income profile and reporting requirements.
Costs of Investing in US Stocks
Brokerage
Tickertape offers two plans: Basic and PRO. The Basic plan is free, with brokerage charged at 0.20% per transaction. The PRO plan is paid and comes with a lower brokerage rate of 0.15% per transaction. In both plans, brokerage is capped at $25 per transaction, excluding GST.
Account, Platform and Maintenance Fees
There are no account-related charges on Tickertape. Users do not pay any account opening fee, deposit fee, withdrawal fee, platform fee or account maintenance charge.
Statutory Charges
Three small regulatory charges apply on top of brokerage:
- FINRA Transaction Fee: 0.0166% (on sell orders only)
- IFSCA Turnover Fee: 0.005%
- CAT Fee: 0.0035%
All charges are subject to GST as applicable.
Deposits and Withdrawals
Tickertape processes deposits through GIFT City, making them fast and free for users. Withdrawals on Tickertape are also free, so users do not pay any platform charges while adding or withdrawing funds.
Comparison of US Stock Investing Charges Across Platforms
Investing in US stocks can involve different charges across platforms, including account opening, brokerage, withdrawal, platform, and regulatory costs. Here’s a side-by-side comparison of US investing platforms and their charges.
| Cost Category | Tickertape | INDmoney | Vested Finance | Paasa |
| Account Opening | ₹0 | ₹0 | ₹0 | $0 |
| Platform / AMC | ₹0 / ₹0 | ₹0 / ₹0 | Basic: ₹0; Premium: ₹375/month annually or ₹450/month quarterly | Access: $0/month; Apex: starts at $29/month |
| Brokerage per Trade | Basic: 0.20%; Pro: 0.15%; max $25 per transaction, excluding GST and statutory charges | 0.25% per trade; max $25, excluding GST | Basic: 0.25%; Premium: 0.15%; max $35 per trade | Access: 0.10%, min $0.50 / max $40; Apex: $0.0035/share, min $0.35 / max 1% of trade value |
| Withdrawal Fees | ₹0 | ₹0 | INR withdrawal: free above $100; $3 below $100. USD wire: $5 | 1 free withdrawal/month; $10 per additional withdrawal |
| Deposit / Funding Fees | ₹0 platform fee. Fast, zero-transaction-fee deposits via GIFT City | ₹0 platform fee. Bank forex markup of 0.5%–1.2% charged by the bank | Funding charges may apply depending on the bank/route. Bank forex markup is typically 3–5%, reduced to 1–3% with partner banks | No platform or custody fee. Standard bank wire and FX conversion charges may apply |
Disclaimer: The pricing and charges mentioned above are as of 13 August 2026 and may change over time. Please refer to each platform’s official pricing page for the latest fees, charges and applicable terms.
US Market Timings
US markets follow Eastern Time, which means trading hours fall in the evening and night for Indian investors, and shift depending on US Daylight Saving Time (DST).
Regular Trading Hours
| US Time Zone | Market Hours | IST Timings |
| Eastern Daylight Time (EDT) – March to November | 9:30 AM – 4:00 PM | 7:00 PM – 1:30 AM (next day) |
| Eastern Standard Time (EST) – November to March | 9:30 AM – 4:00 PM | 8:00 PM – 2:30 AM (next day) |
Trading days are Monday to Friday; markets are closed on Saturdays and Sundays. Important: timings shift by an hour depending on whether the US is observing Daylight Saving Time.
DST Schedule 2026
| Period | Effective Dates | IST Market Open | IST Market Close |
| DST Active | 8th March – 1st November, 2026 | 7:00 PM | 1:30 AM |
| DST Inactive | 1st November, 2026 – 8th March, 2027 | 8:00 PM | 2:30 AM |
Extended Trading Hours
Pre-Market Trading
| Session | US Time | IST (EDT) | IST (EST) |
| Pre-Market | 4:00 AM – 9:30 AM ET | 1:30 PM – 7:00 PM | 2:30 PM – 8:00 PM |
After-Hours Trading
| Session | US Time | IST (EDT) | IST (EST) |
| After-Hours | 4:00 PM – 8:00 PM ET | 1:30 AM – 5:30 AM | 2:30 AM – 6:30 AM |
Full Market Closures
| Date | Holiday | Day |
| 1st January | New Year’s Day | Thursday |
| 19th January | Martin Luther King Jr. Day | Monday |
| 16th February | Presidents’ Day | Monday |
| 3rd April | Good Friday | Friday |
| 25th May | Memorial Day | Monday |
| 19th June | Juneteenth National Independence Day | Friday |
| 3rd July | Independence Day Observed | Friday |
| 7th September | Labor Day | Monday |
| 26th November | Thanksgiving Day | Thursday |
| 25th December | Christmas Day | Friday |
US Stocks vs Indian Stocks: Key Differences
US stocks and Indian stocks differ in market access, currency, trading hours, regulations, taxes, and costs. Here are some of the key differences between US stocks and Indian stocks.
| Parameter | US Stocks | Indian Stocks |
| Stock exchanges | US stocks are primarily traded on exchanges such as the Nasdaq and the NYSE. | Indian stocks mainly trade on NSE and BSE. |
| Currency | US stocks trade in US dollars. Indian investors face rupee-dollar currency movement when they invest and convert returns back to INR. | Indian stocks are traded in Indian rupees, so domestic investors do not incur currency conversion costs when buying and selling. |
| Market timings | US markets follow Eastern Time. The regular session runs from 9:30 AM to 4:00 PM ET, which falls in the evening and night for Indian investors. | Indian markets operate during Indian daytime hours, making real-time tracking easier for domestic investors. |
| Regulator | US stock markets are regulated by the Securities and Exchange Commission, or SEC. | Indian stock markets are regulated by the Securities and Exchange Board of India, or SEBI. |
| Overseas investment rules | Indian residents invest in US stocks under the RBI’s Liberalised Remittance Scheme. The current LRS limit is $250,000 per financial year for permitted overseas investments. | Indian stocks do not fall under LRS for resident Indian investors because they are domestic investments. |
| Tax treatment | US stock investing may involve US dividend withholding tax, Indian capital gains tax and foreign asset reporting in Indian tax returns. | Indian stock investing follows domestic tax rules for dividends, capital gains and securities transactions. |
| Costs | US stock investing may incur forex conversion charges, remittance charges, brokerage fees, platform fees, and withdrawal costs. | Indian stock investing may include brokerage, STT, exchange charges, SEBI charges, GST and stamp duty. |
| Settlement and access | Indian investors usually access US stocks through international investing platforms or brokers that support overseas investing. | Indian stocks can be accessed through Indian brokers using a demat and trading account. |
| Risk factors | Key risks include currency movement, US market volatility, tax complexity, foreign reporting requirements and changes in overseas remittance rules. | Key risks include domestic market volatility, company-specific risk, sector cycles, regulatory changes and macroeconomic conditions in India. |
Most Popular US Stocks Among Indian Investors
Indian investors have shown strong interest in large global companies, especially across technology, AI, electric vehicles and healthcare.
| Theme | US stocks that Indian investors often track |
| Technology and AI | NVIDIA, Microsoft, Apple, Alphabet, Meta |
| Cloud and E-commerce | Amazon |
| Electric Vehicles | Tesla |
| Healthcare | UnitedHealth Group, Novo Nordisk |
Disclaimer: This is only for informational purposes and should not be considered as investment advice.
US Sectors Indian Investors Often Track
US sectors can behave differently across market cycles. Technology and communication services often attract attention because of global companies, AI-led growth and digital business models. Healthcare and consumer staples are generally considered more defensive sectors because demand for their products and services tends to remain steadier. Financials can move with interest rates, credit growth and the broader economy.
| Sector | What drives investor interest |
| Information Technology | AI, semiconductors, software, cloud and digital platforms |
| Communication Services | Digital advertising, streaming, social media and internet platforms |
| Healthcare | Pharma, health insurance, medical devices and ageing population trends |
| Consumer Staples | Stable demand for essential goods |
| Financials | Interest rates, credit growth and economic activity |
Disclaimer: This is only for informational purposes and should not be considered as investment advice.
ETFs vs Individual US Stocks
US ETFs give investors exposure to a basket of stocks through a single investment. Individual stocks give direct exposure to specific companies. Both can play different roles depending on how investors want to research and structure their US portfolio.
| Parameter | US ETFs | Individual US Stocks |
| Exposure | A basket of stocks through one investment | Direct exposure to one company |
| Diversification | Higher, because one ETF may hold many companies | Lower, unless investors buy many stocks |
| Company-specific risk | Lower than single-stock investing | Higher, because performance depends on one company |
| Research need | Focus on index, sector, expense ratio and holdings | Focus on financials, valuation, growth, margins and business outlook |
| Examples | VOO, QQQ, ARKK | NVIDIA, Apple, Microsoft, Tesla, Amazon |
Why are Indian Investors Increasingly Investing in US Stocks?
Exposure to the World’s Largest Equity Market
US stocks give Indian investors access to the world’s largest equity market. The S&P 500 covers around 80% of available US market capitalisation, making it one of the most widely tracked benchmarks for large-cap US equities.
Access to Global Market Leaders
The US market is home to companies such as Apple, Microsoft, NVIDIA, Amazon, Alphabet, Meta and Tesla. These businesses lead themes like AI, cloud computing, semiconductors, electric vehicles and digital advertising.
Exposure to Sectors Missing in India
US-based firms account for about half of the global semiconductor market share, while many leading AI and chip design companies are listed in the US. India has no major listed semiconductor or AI pure-play companies, whereas the US offers direct access to firms such as NVIDIA, AMD, Microsoft, and Alphabet, which drive trillion-dollar global industries.
Stability of the US Economy
The US is the world’s largest economy with a GDP exceeding $30 trillion, supported by deep capital markets and global reserve currency status. Nearly 60% of global forex reserves are held in US dollars, reinforcing its long-term stability.
Improved Tax Treatment
Following the 2024 capital gains reforms, long-term gains on foreign equities are generally taxed at 12.5% instead of the earlier 20% rate for transfers on or after 23rd July 2024, subject to applicable tax rules.
Dollar Exposure
Investing in US stocks gives you exposure to the US dollar, which can increase your returns in rupee terms if the rupee weakens. For example, between 2015 and 2025, the rupee depreciated by around 38% against the US dollar, providing Indian investors with an additional currency tailwind.
Diversification Beyond India
US stocks can help investors diversify beyond a single economy, currency, and market cycle by providing access to global companies, sectors, and economic trends.
Risks of Investing in US Stocks
Market Risk
US stocks can move up or down based on company earnings, interest rates, inflation, economic growth and global market sentiment. Even large companies can see sharp price changes during weak market phases.
Currency Risk
Indian investors invest in US stocks in dollars. If the rupee strengthens against the dollar, the value of US investments can fall in INR terms, even if the stock price rises in USD.
Regulatory Risk
Overseas investing rules can change over time. Changes in LRS limits, TCS rates or RBI rules on outward remittances can affect how much Indian investors can invest and the process they need to follow.
Concentration Risk
US markets include many large global companies, especially in technology. However, investing too much in a few popular stocks can increase risk. If those companies or sectors underperform, the portfolio can be affected.
Conclusion
Investing in US stocks from India has become much easier in the last few years. However, this easy access also comes with risks, including currency movements, market volatility, tax rules, and regulatory requirements. That is why investors should understand the key factors that can affect their portfolio before investing.
Tickertape not only allows investors to invest in US stocks from India, but also helps them analyse US companies across 70+ built-in filters. Investors can use Tickertape US Screener to study financial metrics, valuation, profitability, returns and growth indicators before making informed decisions.
Frequently Asked Questions
1. Is it legal for Indians to buy US stocks?
Yes, Indian residents can legally invest in US stocks and ETFs under the Foreign Exchange Management Act (FEMA), 1999, through the Reserve Bank of India’s Liberalised Remittance Scheme (LRS). Individuals can remit up to $250,000 per financial year for permitted overseas transactions, including investment in foreign securities. Investors need to route the remittance through authorised channels and comply with applicable RBI, tax, and disclosure requirements.
2. How to buy US stocks from India?
You can buy US stocks from India through platforms like Tickertape without needing a US bank account or US address. On Tickertape, investors can open a brokerage account, complete digital KYC through DigiLocker, link an eligible Indian bank account, add funds to their US Wallet under the RBI’s Liberalised Remittance Scheme, and start investing in US stocks. Investors can begin with as little as $1 using fractional shares.
3. How to invest in foreign stocks from India?
Indian investors can invest in foreign stocks through platforms that offer access to international investing. The process usually involves opening an account, completing KYC, linking an Indian bank account, remitting money under the RBI’s Liberalised Remittance Scheme and then buying foreign stocks or ETFs.
4. Can Indian residents invest directly in US stocks?
Yes, resident Indians can invest in US stocks using the RBI’s Liberalised Remittance Scheme (LRS), either through Indian platforms such as Tickertape or directly through US brokers.
5. What is the minimum amount needed to start investing in US stocks from India?
On Tickertape, investors can start investing in US stocks with as little as $1 using fractional shares. This means investors can buy a small portion of a US stock instead of buying one full share.
6. Are US stock investments taxed in India?
Yes, Indian residents must report income from US stocks in India. Capital gains from US stock sales are generally taxed in India, while dividends may be taxed in the US through withholding and then taxed again in India, with a foreign tax credit available, subject to applicable rules.
Disclaimer: This information is for educational purposes only and does not constitute investment, tax or legal advice. Rules, limits and tax treatment may change over time. Investors should refer to the latest RBI, FEMA and Income Tax regulations or consult a qualified professional before making overseas investments.
