GIFT City brings global investing within reach of retail investors: Neil Parikh

Moneycontrol Mutual Fund Summit

The minimum investment threshold was earlier as high as $75,000 to $250,000, with an overall Liberalised Remittance Scheme (LRS) limit of $250,000 per year. Now, retail funds launched from GIFT City have reduced the minimum investment to as low as $5,000 or $10,000, making global investing far more accessible to Indian investors.

At the Moneycontrol Mutual Fund Summit, Neil Parikh, CEO of PPFAS Mutual Fund, said this development marks a major step toward enabling wider retail participation in international markets. Speaking with N. Mahalakshmi, he highlighted that investors today are seeking diversification not just across markets, but also across currencies.

“People no longer want exposure limited to rupee-denominated assets. They’re looking to build global portfolios, whether for education, asset creation abroad, or long-term wealth planning,” Parikh said.

He added that GIFT City — India’s International Financial Services Centre — offers the flexibility to invest and hold assets in multiple currencies, opening doors for individuals to expand their financial footprint globally.

A key advantage of the new structure, Parikh explained, is that investments below Rs 10 lakh do not attract Tax Collected at Source (TCS). “With minimum investments of $5,000 or $10,000, investors can start small and avoid the 20% TCS deduction, making it far more practical for retail investors,” he noted.

Parikh also underlined that onboarding processes have become nearly digital, simplifying access for investors across the country.

While acknowledging that currency risk remains an inherent part of overseas investing, he said this can be managed through careful stock selection and portfolio diversification.

“Retail participation can now truly take off,” Parikh concluded, emphasizing that GIFT City’s evolving framework is creating a transformative gateway for Indian investors to the global market.