Mutual Funds That Invest in US Stocks

Summary
Mutual funds that invest in US stocks give Indian investors simple access to leading global companies through one investment.

Different fund types include index funds, Fund of Funds, US equity funds and thematic funds with different investment styles.

Compare returns, costs, risks and investment goals before choosing a US stock mutual fund for long-term investing.

US stocks mutual funds can help you invest in companies listed in the US. They also add global balance to your portfolio.

• Access to global companies: These funds let you invest in leading industries of the US, like technology and consumer goods.
• Better portfolio balance: Investing in US stocks reduces your dependence on only Indian stocks and spreads your money across different markets.
• Growth opportunity: Many US companies have shown strong business growth over the years, which can help increase your long-term returns.
• Easy international investing: You can invest in US companies through one mutual fund without opening a separate overseas investment account.

Mutual Funds That Invest in US Stocks

Here is a list of mutual fund that purely invests in US equities. The funds are ranked based on AUM as of 17 July 2026, 8:00 AM IST:

Fund	AUM(in ₹ crore)	NAV(in ₹)	Expense Ratio (%)	3-Year CAGR (%)	5-Year CAGR(%)
Motilal Oswal Nasdaq 100 FOF	8,267.17	70.41	0.19	38.45	24.70
Mirae Asset NYSE FANG+ETF FoF	2,605.34	42.35	0.07	45.08	29.56
DSP US Specific Equity Omni FoF	1,291.40	103.17	1.47	27.61	19.11
Navi Nasdaq100 US Specific Equity Passive FOF	1,286.72	24.94	0.20	30.00	–
SBI US Specific Equity Active FoF	1,237.84	25.37	0.98	27.11	17.72
Navi Total Stock Market US Specific Equity Passive FoF	1,072.88	22.70	0.07	25.60	–
Mirae Asset S&P 500 Top 50 ETF FoF	799.09	28.45	0.11	34.87	–
Nippon India US Equity Opp Fund	767.22	46.79	1.38	18.58	11.77
Aditya Birla SL US Equity Passive FOF	534.43	23.14	0.32	29.71	–
Bandhan US Specific Equity Active FOF	377.56	20.62	0.62	23.59	–

Types of Mutual Funds Investing in US Stocks

The types of mutual funds investing in US stocks are:

• Index Funds and ETFs: These funds basically copy the US market indices. They try to provide similar returns as they do.
• Fund of Funds: These funds put their money into another US fund or ETF that is already investing in US stocks. The Fund of Funds does not buy US stocks directly they just invests in funds that do.
• US Equity Funds: These funds are managed by experts who choose US stocks based on research and market opportunities.
• Thematic US Funds: These funds invest in specific sectors like technology or artificial intelligence instead of the overall US stock market.

How to Invest in US Stocks from India (Direct vs Mutual Funds)

You can invest in two ways. You can buy US shares directly or invest through mutual funds. Here is how both methods work:

Investing directly in US Stocks:

Step 1	Choose an investment platform	Create an account with an international or an Indian brokerage app that offers US stock investing.
Step 2	Complete your KYC	Submit your PAN card, Aadhaar card and other required documents to verify your account.
Step 3	Transfer money	Send money from your bank account under the RBI Liberalised Remittance Scheme.
Step 4	Buy US stocks	Search for the stock you want to buy and place the buy order during US market hours.

Investing through Mutual Funds:

Step 1	Open a mutual fund account	Log in to a SEBI-regulated mutual fund platform or AMC website.
Step 2	Select a US mutual fund	Choose a US-focused mutual fund ETF or Fund of Funds based on your investment goals.
Step 3	Decide the investment amount	Choose to invest through a lump sum amount or start a SIP with the amount you are comfortable investing.
Step 4	Complete your investment	Make the payment in Indian Rupees, and your investment will be processed without opening an overseas trading account.

Benefits of Investing in US Stock Mutual Funds

US stock mutual funds can help you invest beyond India without much effort. They offer access to global companies while making international investing simple.

• Better portfolio balance: These funds spread your money across different countries. This reduces the risk of depending only on the Indian stock market.
• Chance to benefit from dollar growth: If the US Dollar becomes stronger than the Indian Rupee, your investment value in Rupees may also increase.
• Access to global companies: You can invest in any company that is not listed in India.
• Simple and easy to invest: You can invest through Indian mutual fund apps or AMC websites without opening a separate overseas trading account.

Risks, Limitations & Common Mistakes

Here are some risks or limitations and common mistakes you should be aware of:

Risks and limitations:

Currency risk	If the US Dollar becomes weaker against the Indian Rupee, your returns may fall even if the fund performs well.
Market risk	US stock prices can fall because of inflation, interest rates, economic slowdown or other market events.
Limited control	The fund manager decides which stocks to buy and sell. You cannot choose the companies yourself.
Costs and taxes	These funds charge management fees. Taxes and other charges can also reduce your final returns.

Common mistakes to avoid:

Ignoring currency changes	Many investors only look at fund returns. They forget that changes in the US Dollar and Indian Rupee can also affect returns.
Choosing expensive funds	Some US mutual funds charge higher fees. Compare the expense ratio because higher costs can reduce long-term returns.
Buying similar US Funds	Many US funds invest in the same large companies. Buying several such funds may not improve diversification.
Ignoring tax rules	Learn about the tax rules before investing. Taxes on international mutual funds can be different from those on Indian equity mutual funds.

Is Investing in US Stock Mutual Funds Right for You?

US stock mutual funds can be a good choice if you want to invest for the long term and add global companies to your portfolio. They can help you diversify beyond India, but they also come with market and currency risks. Invest only if your risk level and investment goals match this type of fund.

Final Thoughts

Mutual funds that invest in US stocks can help you add international investment options to your portfolio. They also make it easy for Indian investors to invest in the US or other countries’ stocks. 

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