Introduction: Why Indian Investors Should Invest in Global Market ETFs
Indian investors today are increasingly looking beyond domestic markets to build a globally diversified investment portfolio. While India offers strong growth potential, investing only in one country exposes investors to concentration risk. Global Market Exchange Traded Funds (ETFs) allow Indian investors to gain exposure to international economies, global technology leaders, and foreign currencies—all while investing through Indian stock exchanges.
Global ETFs provide a simple, cost-effective, and transparent way to invest in international markets such as the United States and Hong Kong, without the need to open a foreign brokerage account.
In this article, we will explore the best global market ETFs available for Indian investors, their benefits, risks, and how to choose the right one based on your financial goals.
Table of Contents
What Are Global Market ETFs?
Global Market ETFs are mutual fund schemes that invest in foreign stock indices or overseas ETFs. These funds are listed on Indian exchanges like NSE and BSE and can be bought and sold just like regular stocks.
Key Benefits of Global ETFs for Indian Investors
- International diversification beyond Indian equities
- Exposure to global leaders like Apple, Microsoft, Google, Amazon, and Tesla
- Currency diversification (benefit from INR depreciation)
- Low cost and transparency compared to actively managed global funds
- Easy access through Indian demat and trading accounts
Best Global Market ETFs Available for Indian Investors
| Nippon HangSeng ETF |
| Motilal Oswal Nasdaq 100 ETF |
| Motilal Oswal Nasdaq Quality 50 ETF |
| Mirae Asset Hang Seng Tech ETF |
| Mirae Asset NYSE FANG+ ETF |
| Mirae Asset S&P 500 Top 50 ETF |
1. Nippon India Hang Seng ETF
Index Tracked: Hang Seng Index (Hong Kong)
The Nippon India Hang Seng ETF offers exposure to large-cap Chinese and Hong Kong companies listed on the Hong Kong Stock Exchange. It includes companies from finance, technology, real estate, and consumer sectors.
Key Highlights:
- Exposure to China-focused growth
- Includes global Chinese brands like Tencent and Alibaba
- Suitable for investors bullish on Asian markets
Ideal For: Long-term investors seeking diversification into the Chinese economy.
2. Motilal Oswal Nasdaq 100 ETF
Index Tracked: Nasdaq 100 Index (USA)
This is one of the most popular global ETFs in India. The Nasdaq 100 index consists of the top 100 non-financial companies listed on Nasdaq, heavily tilted toward technology and innovation.
Top Holdings: Apple, Microsoft, NVIDIA, Amazon, Meta, Google
Key Highlights:
- High exposure to global technology leaders
- Strong historical long-term returns
- Growth-oriented ETF
Ideal For: Investors looking for long-term capital appreciation and exposure to US tech giants.
3. Motilal Oswal Nasdaq Quality 50 ETF
Index Tracked: Nasdaq 100 Quality 50 Index
This ETF focuses on high-quality companies selected from the Nasdaq universe based on financial strength, profitability, and low leverage.
Key Highlights:
- Focus on financially strong companies
- Lower volatility compared to Nasdaq 100
- Quality-based smart beta strategy
Ideal For: Investors seeking stable global growth with relatively lower risk.
4. Mirae Asset Hang Seng Tech ETF
Index Tracked: Hang Seng TECH Index
This ETF provides exposure to leading Chinese technology companies, including internet, fintech, e-commerce, and innovation-driven businesses.
Top Holdings: Tencent, Meituan, Alibaba, JD.com
Key Highlights:
- Pure-play exposure to Chinese tech
- High-growth potential
- Volatile but rewarding in long term
Ideal For: Aggressive investors with a high-risk appetite.
5. Mirae Asset NYSE FANG+ ETF
Index Tracked: NYSE FANG+ Index
The FANG+ ETF focuses on a concentrated portfolio of global tech giants known for innovation and strong earnings growth.
Top Holdings: Apple, Amazon, Netflix, Meta, NVIDIA, Tesla
Key Highlights:
- Concentrated exposure to mega-cap tech leaders
- High growth but higher volatility
- Strong influence from US markets
Ideal For: Investors seeking aggressive growth and global technology exposure.
6. Mirae Asset S&P 500 Top 50 ETF
Index Tracked: S&P 500 Top 50 Index
This ETF invests in the top 50 companies of the S&P 500, representing the largest and most stable US corporations.
Top Holdings: Apple, Microsoft, Berkshire Hathaway, Johnson & Johnson
Key Highlights:
- Exposure to the strongest US companies
- Balanced sector representation
- Relatively lower volatility than tech-heavy ETFs
Ideal For: Conservative to moderate investors looking for stable global exposure.
How to Choose the Right Global ETF?
Before investing, Indian investors should consider:
- Risk appetite: Tech and China-focused ETFs are more volatile
- Investment horizon: Global ETFs are best suited for long-term goals (5+ years)
- Portfolio allocation: Limit global ETFs to 10–30% of equity portfolio
- Expense ratio & tracking error: Lower is better
Taxation of Global ETFs in India
- Global ETFs are taxed as non-equity mutual funds
- Short-term capital gains: Taxed as per income slab (holding < 24 months)
- Long-term capital gains: 20% with indexation benefit (holding ≥ 24 months)
Risks of Investing in Global Market ETFs
- Currency risk (USD/INR or HKD/INR fluctuations)
- Geopolitical risks (especially China-focused ETFs)
- Global market volatility
- Regulatory restrictions on overseas investments
Final Thoughts: Should Indian Investors Invest in Global ETFs?
Global Market ETFs are an excellent tool for Indian investors to diversify risk, access global growth, and participate in international innovation. ETFs like Nasdaq 100, S&P 500, and FANG+ provide exposure to some of the world’s best companies, while Hang Seng ETFs offer access to Asian growth opportunities.
A well-balanced portfolio with carefully chosen global ETFs can help investors build long-term wealth with reduced dependence on a single market.
📢 Disclaimer
Disclaimer: This blog is for educational purposes only and not investment advice. I am not a SEBI registered advisor. Please consult your financial advisor before making any investment decisions.