Zerodha to Allow Trading in U.S. Stocks by 2026
India’s largest stockbroker, Zerodha, is poised to enable its users to invest directly in U.S. stocks by early 2026. This promising development, as stated by CEO Nithin Kamath, comes in response to the increasing demand for global investment opportunities among Indian investors.
Key Highlights of the U.S. Stock Trading Launch
– Timeline: Zerodha plans to roll out U.S. stock trading in the next quarter, marking an eagerly anticipated expansion of their services.
– Background: Kamath first hinted at allowing investments in U.S. markets back in 2020. However, the COVID-19 pandemic delayed progress on this front.
– Regulatory Clarity: The necessary regulatory approvals from GIFT City, Gujarat’s financial hub, have now been secured, according to Zerodha’s Chief Technology Officer, Kailash Nadh.
– User Experience: The company aims to create a seamless and user-friendly trading experience for its customers.
– Collaboration Needs: To facilitate U.S. equities trading, Zerodha will establish partnerships with U.S.-based brokers. This strategy aligns with practices from competitors like INDMoney and 5Paisa.
Advantages and Challenges
Investing in U.S. stocks can provide Indian investors exposure to major global companies such as Apple and Tesla. However, potential hurdles include:
– Cost of Remittance: Transactions under the Liberalised Remittance Scheme could deter small investors due to higher costs.
– Market Demand: Despite challenges, the appetite for international diversification among Indian investors remains strong.
Zerodha’s announcement has sparked excitement and anticipation. As the launch date approaches, many are eager to explore new investment avenues in global markets while leveraging Zerodha’s streamlined services. This move not only enhances Zerodha’s offerings but also aligns with the growing trend of international investing among Indian consumers.
As we look forward to this significant launch, it’s essential for investors to stay informed about the specifics of the service and navigate potential obstacles effectively. Investing in U.S. stocks through Zerodha could be a game-changer, setting the stage for broader investment horizons.