Navigating Global Stock Markets: Is NSE Accessible to Foreign Investors?

NSE Launches NSE IX, Allowing Indian Investors to Buy Global Stocks

Key Highlights:

• NSE IX, India's leading international exchange, wholly owned by the National Stock Exchange of India, has launched a global access platform allowing Indian investors to buy equities outside Indian markets.
• The platform will provide access to 30 global markets, with the US being the first market to go live, and additional markets expected to be rolled out before the end of 2026.
• NSE IX trades almost USD 100 billion every month, with an average daily trading volume of over USD 5 billion, representing over 65-70% market share with the NIFTY index futures trading size.

How to Buy Global Stocks from NSE IX:

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• Indian investors can remit funds to a designated account in GIFT City, where NSE IX has tied up with a foreign broker that maintains a backup account structure.
• Investors will not need a demat account to trade on the global access platform, and can create multiple watchlists and place buy and sell orders in global stocks.
• The platform supports value-based or fractional investing, enabling investors to purchase a portion of a high-priced stock rather than a full share.

Investment Limits and Restrictions:

• Indian investors will have an annual limit of USD 2.5 lakh permitted under the Reserve Bank of India's Liberalised Remittance Scheme (LRS).
• Certain products remain restricted under the LRS framework, including derivatives trading, cryptocurrencies, and other digital assets.
• All transactions will be fully compliant with India's regulatory norms.

Tax Holiday Extension:

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• The centre's recent extension of the tax holiday in the Union Budget to 20 years provides clear certainty and reduces tax uncertainty for businesses in the International Financial Services Centre (IFSC).
• This extension is expected to attract more players to the IFSC, as competing centres like Dubai offer a 50-year tax holiday.