MUMBAI — Indian investors are celebrating an unexpected windfall from the US stock market, delivering them double happiness even as domestic market gains fell short of expectations. A staggering 72 percent return proved to be a pleasant surprise for those with overseas holdings, a gain confirmed after analyzing the figures for the past year.
The continuous surge in the US stock market has led to a rapid increase in the number of Indians investing internationally. Those who had invested earlier saw significant benefits, primarily accrued through investments in foreign mutual funds and Fund of Funds (FoF—a system that invests in a portfolio of expert-selected mutual funds or Exchange Traded Funds). The cumulative returns from these avenues reached 72 percent.
The robust performance of stocks across key sectors such as technology, Artificial Intelligence (AI), and commodities was the main driver attracting Indian capital. Furthermore, the depreciation of the Indian Rupee against the US Dollar acted as a favorable factor, adding an additional five percent to the overall profits.
The US stock market experienced an unexpected upward trajectory despite increasing domestic concerns and economic crises in the country. This market boom notably followed President Donald Trump’s declaration of a tariff war, a strategy intended to reduce the trade deficit and boost domestic production.
