Last updated: 15 Jul, 2020 | 12:45 pm
This is a brief comparison of Indian Fund of Funds (FOF) investing in US markets - versus investing directly in US markets through INDmoney over a period of 5 years.
Funds used for this comparison:
Note – Over a period of 5 years both funds are subject to Long Term Capital Gains Tax (LTCG) at a rate of 20% plus indexation benefits.
More details about these instruments:
An open-ended Fund of Fund (FOF) investing major proportion of net assets in underlying - PGIF Origin Global Smaller Companies Fund - Usd I Class Accumulation. The FOF carries an expense ratio of 1% with an AUM of ₹18 Cr.
An open-ended Fund of Fund (FOF) investing in units of underlying - Franklin U.S. Opportunities Fund. The FOF carries an expenses ratio of 0.61% with an AUM of ₹1844 Cr.
An open-ended (FOF) investing in units of underlying PGIM Jennison Global Equity Opportunities Fund. This FOF carries an expense ratio of 0.25% with an AUM of ₹137 Cr.
One of the largest exchange traded fund (ETF) in the U.S. based on NASDAQ – 100 index. The fund holds an AUM of $115.23 Billion (₹ 8.66 lakh crores) and carries an expense ratio of 0.20%.