Groww has launched access to more than 10,000 US-listed stocks and ETFs, including fractional shares, through its app. Here’s what investors need to know about eligible banks, foreign-exchange rules and other factors…
Groww has introduced a feature allowing users to access over 10,000 US-listed stocks and ETFs, with support for fractional share ownership, directly through its mobile application.
The major investment platform, which serves more than 29% of India’s 46 million active stock brokerage investors, began rolling out trading in US-based equities early in October.
According to chief operating officer and co-founder Harsh Jain, as the rollout occurred in phases over a four-week period. It provides access to a wide range of US companies—such as Alphabet, Apple, Micron, and Nvidia—alongside thousands of ETFs and fractional shares
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Indian investors seeking to diversify their portfolios beyond domestic borders now have a new path forward, as Groww joins other platforms like Zerodha and Angel One in facilitating the purchase and sale of US-listed securities.
This development offers investors exposure to international firms and specific investment themes that may not be available within the domestic market. Below are the primary features and considerations for those interested in this option:
Access to global companies and ETFs
The company stated that Groww app users can now access over 10,000 US-listed stocks and ETFs, covering sectors such as semiconductors, artificial intelligence (AI), space technology, and software-as-a-service (SaaS).
This provides a gateway for domestic investors to gain a stake in major US tech firms like Alphabet, Amazon, Apple, Meta Platforms, Microsoft, Nvidia, and Tesla. Additionally, users can participate in ETFs that track specific sectors or broader indices, including the Invesco Nasdaq 100, Vanguard S&P 500, and SPDR S&P 500.
Fractional investing lowers the entry barrier
The company noted that the fractional investing feature allows customers to buy a portion of a share rather than requiring the purchase of a full unit. “This can make companies with relatively high share prices more accessible to investors looking to start with smaller amounts. Investors can also explore market information, discover securities and monitor their US investments alongside their other holdings on Groww,” it added.
How to complete account activation, onboarding
Users can navigate to the US Stocks section under the ‘Products and Tools’ menu in the Groww app to begin the account activation process. Onboarding requires the submission and verification of employment status, liquid net worth, and primary identification.
Once the verification process is finished, investors are free to fund their accounts and begin trading.
How funding and placing orders will work
— The Groww app facilitates online fundingI Bank, Kotak Mahindra Bank, and IDFC First Bank
— Users can select a linked bank account, specify the transfer amount, and complete the necessary bank-authorized remittance and authentication steps.
— Depending on the specific bank, this process might require confirming account details, agreeing to relevant declarations, and finishing an OTP verification. Certain banks also provide options for debit card and net banking authentication.
— After funds are credited to the US dollar balance, investors can choose an eligible ETF or US stock and execute a buy orderble bank accounts, provided they meet the necessary verification requirements
Regulatory requirements and investment risks
The company stated that its international investing service is providedProvider registrations with the International Financial Services Centres Authority (IFSCA)
— For residents of India, overseas investments are governed by applicable foreign exchange regulations, such as the Reserve Bank of India’s Liberalised Remittance Scheme (LRS).
— Investors must also factor in taxation, currency conversion fees, and other relevant transaction costs.
— Because these investments are denominated in US dollars, fluctuations in the rupee against the dollar can impact total returns when capital is converted back into rupees.
— International equities are also subject to global economic conditions, company-specific developments, and market volatility. Investors should fully understand these risks and regulatory requirements before allocating funds.
“Access to US-listed stocks and ETFs provides Indian investors with another avenue to explore international markets and diversify their portfolios. As with any investment, the choice of securities and the amount invested should be guided by individual financial goals, risk appetite and investment horizon,” it added.
Disclaimer: This story is for educational purposes only. The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
