The below table shows a list Of the Best International Mutual Funds Based on AUM, NAV and minimum SIP.
Name | AUM (Cr) | NAV (Rs) | Minimum SIP (Rs) |
Motilal Oswal Nasdaq 100 FOF | 5138.4 | 38.68 | 500 |
Franklin India Feeder – Franklin U.S. Opportunities Fund | 3513.79 | 85.26 | 500 |
Kotak NASDAQ 100 FoF | 3183.9 | 18.44 | 100 |
Edelweiss US Technology Equity FOF | 2257.48 | 28.87 | 100 |
Edelweiss Gr China Equity Off-Shore Fund | 1595.89 | 41.71 | 100 |
Mirae Asset NYSE FANG+ETF FoF | 1501.63 | 25.86 | 99 |
PGIM India Global Equity Opp Fund | 1322.03 | 50.75 | 1000 |
HDFC Developed World Indexes FoF | 1248.74 | 14.84 | 100 |
Navi NASDAQ 100 FoF | 966.22 | 16.23 | 10 |
Navi US Total Stock Market FoF | 939.32 | 16.14 | 10 |
Table of Contents
Introduction to International Mutual Funds in India
Motilal Oswal Nasdaq 100 FOF
Motilal Oswal Nasdaq 100 FOF Direct – Growth is a International Index mutual fund scheme from Motilal Oswal Mutual Fund. This fund has been in existence for 6 years, having been launched on 09/11/2018.
Motilal Oswal Nasdaq 100 FOF, as an International Mutual Fund, manages assets valued at ₹5138.4 crore. Over the past 3 years, it has achieved a Compound Annual Growth Rate (CAGR) of 15.26%. This fund has an exit load of 0% and an expense ratio of 0.24%. According to SEBI, it falls under the Very High-risk category.
The distribution of holdings includes 99.1% in equity, 1.08% in debt and -0.18% in others.
Franklin India Feeder – Franklin U.S. Opportunities Fund
Franklin India Feeder Franklin US Opportunities Direct Fund-Growth is an International mutual fund scheme from Franklin Templeton Mutual Fund. This fund has been in existence for 11 years 11 months, having been launched on 01/01/2013.
Franklin India Feeder – Franklin U.S. Opportunities Fund, as an International Mutual Fund, manages assets valued at ₹3513.79 crore. Over the past 3 years, it has achieved a Compound Annual Growth Rate (CAGR) of 10.28%. This fund has an exit load of 1% and an expense ratio of 0.61%. According to SEBI, it falls under the Very High-risk category.
The distribution of holdings includes 99.02% in equity, Nil in debt and 0.98% in others.
Kotak NASDAQ 100 FoF
Kotak Nasdaq 100 FOF Direct – Growth is an International Index mutual fund scheme from Kotak Mahindra Mutual Fund. This fund has been in existence for 3 years 10 months, having been launched on 11/01/2021.
Kotak NASDAQ 100 FoF, as an International Mutual Fund, manages assets valued at ₹3183.9 crore. Over the past 3 years, it has achieved a Compound Annual Growth Rate (CAGR) of 15.72%. This fund has an exit load of 0% and an expense ratio of 0.3%. According to SEBI, it falls under the Very High-risk category.
The distribution of holdings includes 99.91% in equity, Nil in debt and 0.09% in others.
Edelweiss US Technology Equity FOF
Edelweiss US Technology Equity FoF Direct – Growth is a International mutual fund scheme from Edelweiss Mutual Fund. This fund has been in existence for 4 years 9 months, having been launched on 14/02/2020.
Edelweiss US Technology Equity FOF, as an International Mutual Fund, manages assets valued at ₹2257.48 crore. Over the past 3 years, it has achieved a Compound Annual Growth Rate (CAGR) of 12.56%. This fund has an exit load of 1% and an expense ratio of 1.45%. According to SEBI, it falls under the Very High-risk category.
The distribution of holdings includes 99.56% in equity, 0.76% in debt and -0.32% in others.
Edelweiss Gr China Equity Off-Shore Fund
Edelweiss Greater China Equity Off-shore Fund Direct-Growth is an International mutual fund scheme from Edelweiss Mutual Fund. This fund has been in existence for 11 years 11 months, having been launched on 01/01/2013.
Edelweiss Gr China Equity Off-Shore Fund, as an International Mutual Fund, manages assets valued at ₹1595.89 crore. Over the past 3 years, it has achieved a Compound Annual Growth Rate (CAGR) of -7.3%. This fund has an exit load of 1% and an expense ratio of 1.44%. According to SEBI, it falls under the Very High-risk category.
The distribution of holdings includes 98.47% in equity, 1.75% in debt and -0.22% in others.
Mirae Asset NYSE FANG+ETF FoF
Mirae Asset NYSE FANG+ ETF FoF Direct – Growth is an International Index mutual fund scheme from Mirae Asset Mutual Fund. This fund has been in existence for 3 years 7 months, having been launched on 19/04/2021.
Mirae Asset NYSE FANG+ETF FoF, as an International Mutual Fund, manages assets valued at ₹1501.63 crore. Over the past 3 years, it has achieved a Compound Annual Growth Rate (CAGR) of 28.96%. This fund has an exit load of 0.5% and an expense ratio of 0.06%. According to SEBI, it falls under the Very High-risk category.
The distribution of holdings includes 99.98% in equity, Nil in debt and 0.02% in others.
PGIM India Global Equity Opp Fund
PGIM India Global Equity Opportunities Fund Direct-Growth is an International mutual fund scheme from Pgim India Mutual Fund. This fund has been in existence for 11 years 11 months, having been launched on 01/01/2013.
PGIM India Global Equity Opp Fund, as an International Mutual Fund, manages assets valued at ₹1322.03 crore. Over the past 3 years, it has achieved a Compound Annual Growth Rate (CAGR) of 7.28%. This fund has an exit load of 0.5% and an expense ratio of 1.44%. According to SEBI, it falls under the Very High-risk category.
The distribution of holdings includes 98.59% in equity, 1.59% in debt and -0.18% in others.
HDFC Developed World Indexes FoF
HDFC Developed World Indexes FoF Direct – Growth is an International mutual fund scheme from Hdfc Mutual Fund. This fund has been in existence for 3 years 2 months, having been launched on 17/09/2021.
HDFC Developed World Indexes FoF, as an International Mutual Fund, manages assets valued at ₹1248.74 crore. Over the past 3 years, it has achieved a Compound Annual Growth Rate (CAGR) of 12.7%. This fund has an exit load of 1% and an expense ratio of 0.23%. According to SEBI, it falls under the Very High-risk category.
The distribution of holdings includes 99.88% in equity, Nil in debt and 0.12% in others.
Navi NASDAQ 100 FoF
Navi NASDAQ 100 FoF is an International mutual fund scheme from Navi AMC Ltd. This fund has been in existence for 2 years and 7 months, having been launched on 23/03/2022.
Navi NASDAQ 100 FoF, as an International Mutual Fund, manages assets valued at ₹966.22 crore. Over the past 3 years, it has achieved a Compound Annual Growth Rate (CAGR) of -%. This fund has an exit load of 0% and an expense ratio of 0.15%. According to SEBI, it falls under the Very High-risk category.
The distribution of holdings includes Nil in equity, Nil in debt and 100% in others.
Navi US Total Stock Market FoF
Navi US Total Stock Market FoF is an International mutual fund scheme from Navi AMC Ltd. This fund has been in existence for 2 years and 6 months, having been launched on 18/02/2022.
Navi US Total Stock Market FoF, as an International Mutual Fund, manages assets valued at ₹939.32 crore. Over the past 3 years, it has achieved a Compound Annual Growth Rate (CAGR) of -%. This fund has an exit load of 0% and an expense ratio of 0.06%. According to SEBI, it falls under the Very High-risk category.
The distribution of holdings includes Nil in equity, Nil in debt and 100% in others.
What Is An International Mutual Fund?
An international mutual fund is an investment vehicle that pools money from multiple investors to invest primarily in foreign securities. These funds provide exposure to global markets, allowing investors to diversify their portfolios beyond their home country’s economy.
These funds typically invest in stocks, bonds, or other assets outside the investor’s home market. They offer the potential for higher returns but also carry risks associated with currency fluctuations and geopolitical factors, making them suitable for investors seeking global diversification.
Investors in international mutual funds benefit from professional management and access to various international markets. They can choose funds focusing on specific regions, sectors, or asset classes, aligning with their investment goals and risk tolerance.
Features of the Best International Mutual Fund
The main features of the best international mutual funds include global diversification, professional management, currency exposure and access to international markets. These elements help investors mitigate risks and enhance potential returns through strategic investments across various countries and sectors.
- Global Diversification: Best international mutual funds invest in a wide range of assets across different countries, reducing risk. This diversification helps protect portfolios from domestic market volatility, allowing investors to benefit from growth in emerging and developed markets.
- Professional Management: These funds are managed by experienced professionals who conduct thorough research and analysis. Their expertise in selecting the right investments ensures that the fund aligns with market trends and economic conditions, optimizing returns for investors.
- Currency Exposure: Investing internationally involves exposure to various currencies, which can lead to gains or losses based on exchange rate fluctuations. This aspect adds a layer of potential return but also increases risk, making it essential for informed decision-making.
- Access to International Markets: International mutual funds provide investors with opportunities to access markets and sectors that may not be available domestically. This access can lead to higher returns and better investment options, enhancing overall portfolio performance.
Top International Mutual Funds In India Based on Expense Ratio
The table below shows the Best-performing International Mutual Funds Based on the highest to lowest expense ratio.
Name | Expense Ratio (%) | Minimum SIP (Rs) |
Mirae Asset NYSE FANG+ETF FoF | 0.06 | 99 |
Navi US Total Stock Market FoF | 0.06 | 10 |
Mirae Asset S&P 500 Top 50 ETF FoF | 0.09 | 99 |
Navi NASDAQ 100 FoF | 0.15 | 10 |
Invesco India – Invesco EQQQ NASDAQ-100 ETF FoF | 0.16 | 500 |
HDFC Developed World Indexes FoF | 0.23 | 100 |
Motilal Oswal Nasdaq 100 FOF | 0.24 | 500 |
Kotak NASDAQ 100 FoF | 0.3 | 100 |
Aditya Birla SL NASDAQ 100 FOF | 0.32 | 100 |
Kotak Global Innovation FoF | 0.45 | 100 |
Best International Mutual Funds To Invest In Based on 3Y CAGR
The table below shows the Best International Mutual Funds Based on the Highest 3Y CAGR.
Name | CAGR 3Y (Cr) | Minimum SIP (Rs) |
Mirae Asset NYSE FANG+ETF FoF | 28.96 | 99 |
Mirae Asset S&P 500 Top 50 ETF FoF | 23.83 | 99 |
Kotak NASDAQ 100 FoF | 15.72 | 100 |
Motilal Oswal Nasdaq 100 FOF | 15.26 | 500 |
Aditya Birla SL NASDAQ 100 FOF | 14.92 | 100 |
SBI International Access-US Equity FoF | 14.61 | 500 |
DSP US Flexible Equity FoF | 13.11 | 100 |
HDFC Developed World Indexes FoF | 12.7 | 100 |
Edelweiss US Technology Equity FOF | 12.56 | 100 |
Axis Global Equity Alpha FoF | 12.42 | 100 |
International Mutual Fund List Based on Exit Load
The table below shows Best Performing International Mutual Funds In India Based on Exit Load, i.e., the fee that the AMC charges investors when they exit or redeem their fund units.
Name | AMC | Exit Load (%) |
Navi US Total Stock Market FoF | Navi AMC Limited | 0 |
Navi NASDAQ 100 FoF | Navi AMC Limited | 0 |
Invesco India – Invesco EQQQ NASDAQ-100 ETF FoF | Invesco Asset Management Company Pvt Ltd. | 0 |
DSP Global Innovation FoF | DSP Investment Managers Private Limited | 0 |
Kotak NASDAQ 100 FoF | Kotak Mahindra Asset Management Company Limited | 0 |
Motilal Oswal Nasdaq 100 FOF | Motilal Oswal Asset Management Company Limited | 0 |
Aditya Birla SL NASDAQ 100 FOF | Aditya Birla Sun Life AMC Limited | 0 |
DSP US Flexible Equity FoF | DSP Investment Managers Private Limited | 0 |
Mirae Asset NYSE FANG+ETF FoF | Mirae Asset Investment Managers (India) Private Limited | 0.5 |
Mirae Asset S&P 500 Top 50 ETF FoF | Mirae Asset Investment Managers (India) Private Limited | 0.5 |
International Mutual Funds Returns
The table below shows International Mutual Funds Returns Based on 1Y return.
Name | Absolute Returns – 1Y (%) | Minimum SIP (Rs) |
Mirae Asset NYSE FANG+ETF FoF | 78.1 | 99 |
Mirae Asset S&P 500 Top 50 ETF FoF | 67.91 | 99 |
Edelweiss US Technology Equity FOF | 46.02 | 100 |
Franklin India Feeder – Franklin U.S. Opportunities Fund | 40.49 | 500 |
Motilal Oswal Nasdaq 100 FOF | 39.67 | 500 |
Kotak NASDAQ 100 FoF | 38.37 | 100 |
Navi NASDAQ 100 FoF | 38.23 | 10 |
Aditya Birla SL NASDAQ 100 FOF | 38.21 | 100 |
Invesco India – Invesco EQQQ NASDAQ-100 ETF FoF | 38.09 | 500 |
SBI International Access-US Equity FoF | 36.91 | 500 |
Historical Performance of International Mutual Funds
The table below shows the Historical Performance Of International Mutual Funds based on 5Y return
Name | CAGR 5Y (Cr) | Minimum SIP (Rs) |
Motilal Oswal Nasdaq 100 FOF | 25.27 | 500 |
PGIM India Global Equity Opp Fund | 19.1 | 1000 |
Franklin India Feeder – Franklin U.S. Opportunities Fund | 18.7 | 500 |
DSP US Flexible Equity FoF | 17.26 | 100 |
Edelweiss Gr China Equity Off-Shore Fund | 5.19 | 100 |
Factors to Consider When Investing in International Mutual Funds
The main factors to consider when investing in international mutual funds include understanding currency risk, evaluating fund performance, assessing the management team and analyzing fees. These elements are crucial for making informed investment decisions and maximizing potential returns while managing risks effectively.
- Understanding Currency Risk: Currency fluctuations can significantly impact returns on international investments. Investors should assess how changes in exchange rates may affect their investment’s value, as gains or losses from currency movements can either enhance or detract from overall performance.
- Evaluating Fund Performance: Review the historical performance of the mutual fund, considering both short-term and long-term results. Compare it against relevant benchmarks to gauge its effectiveness. Consistent performance over time is indicative of a well-managed fund.
- Assessing the Management Team: The expertise and experience of the fund manager play a critical role in investment success. Research the management team’s background, investment philosophy and track record to ensure they have the skills needed to navigate global markets effectively.
- Analyzing Fees: Understand the fee structure of the international mutual fund, including management fees, expense ratios and any additional charges. High fees can erode returns over time, so it’s essential to balance cost with the quality of management and potential performance.
How to Invest in Top International Mutual Funds?
To invest in top international mutual funds, start by researching various options that align with your investment objectives and risk tolerance. Utilize online resources, fund ratings and reviews to identify high-performing funds that suit your financial goals.
Once you have selected potential funds, you can use a brokerage platform like Alice Blue for a seamless investment experience. Alice Blue offers access to various international mutual funds, along with tools for tracking performance and managing your portfolio effectively, ensuring you make informed decisions.
After creating an account with Alice Blue, you can invest by depositing funds and placing orders for your chosen mutual funds. Be aware of minimum investment requirements and any associated fees. Regularly monitor your investments and adjust your strategy based on market trends and performance.
Impact of Market Trends on Top International Mutual Funds
Market trends significantly influence top international mutual funds by affecting the performance of the underlying assets. Factors such as economic growth, interest rates and geopolitical events can lead to fluctuations in global markets, directly impacting fund returns and investor sentiment.
Additionally, sector-specific trends can drive performance disparities among international mutual funds. For instance, a surge in technology or green energy may benefit funds heavily invested in those sectors, while funds focused on traditional industries could underperform, highlighting the importance of sector diversification.
Investor behaviour also plays a role in shaping market trends, as sentiment can lead to capital flows into or out of international mutual funds. Positive market outlooks may attract more investment, while economic uncertainties could result in increased withdrawals, affecting fund liquidity and performance.
How do International Mutual Funds Perform in Volatile Markets?
International mutual funds often experience heightened volatility during turbulent market conditions due to exposure to diverse global economies. Factors such as geopolitical tensions and economic downturns can lead to sharp fluctuations in fund values, impacting overall investor returns and confidence.
The performance of these funds can vary significantly based on their geographic and sector allocations. Funds invested in emerging markets may face more instability, while those focused on developed markets might demonstrate relative resilience, highlighting the importance of strategic diversification in mitigating risks.
Management strategies also play a crucial role in navigating volatile markets. Skilled fund managers may adjust asset allocations, hedging strategies and sector exposures to protect investments, thereby enhancing stability and potential recovery when market conditions improve.
Advantages of Investing in International Mutual Funds
The main advantages of investing in international mutual funds include diversification, access to global markets, the potential for higher returns and currency benefits. These factors allow investors to enhance their portfolios and capitalize on growth opportunities beyond their domestic markets.
- Diversification: International mutual funds offer exposure to a variety of global assets, which helps spread risk. By diversifying across different countries and sectors, investors can reduce the impact of domestic market fluctuations, leading to a more stable investment portfolio.
- Access to Global Markets: Investing in these funds provides opportunities in markets that may be unavailable to individual investors. This access allows investors to tap into emerging economies and sectors poised for growth, enhancing potential investment returns.
- Potential for Higher Returns: International markets can sometimes outperform domestic markets, particularly in periods of economic expansion. By investing globally, investors can take advantage of different growth cycles and capitalize on high-growth opportunities in various regions.
- Currency Benefits: Exposure to foreign currencies can provide additional returns as exchange rates fluctuate. If the investor’s home currency weakens against the currencies of the foreign investments, the overall returns can increase, adding an extra layer of potential profit.
Risks of Investing in International Mutual Funds
The main risks of investing in international mutual funds include currency risk, political instability, market volatility and differing regulations. Understanding these risks is crucial for investors, as they can significantly affect returns and overall investment performance in foreign markets.
- Currency Risk: Fluctuations in exchange rates can impact the value of investments. A decline in the foreign currency against the investor’s home currency can lead to reduced returns, making currency risk a significant concern when investing internationally.
- Political Instability: Investments in countries with unstable governments can be risky. Political events, such as elections or changes in policy, can affect market conditions and economic stability, potentially leading to sudden declines in fund value.
- Market Volatility: International markets can experience higher volatility compared to domestic markets. Factors such as economic changes, geopolitical tensions and global events can lead to sharp price swings, increasing the risk for investors in international mutual funds.
- Differing Regulations: Each country has its own financial regulations and tax laws, which can affect investment performance. Investors must navigate varying levels of transparency and regulatory environments, potentially complicating their investment decisions and increasing compliance risks.
Contribution of International Mutual Funds to Portfolio Diversification
International mutual funds play a crucial role in portfolio diversification by providing exposure to global markets and assets. This diversification helps mitigate risks associated with domestic investments, allowing investors to capitalize on growth opportunities in emerging and developed economies alike.
By including international mutual funds in a portfolio, investors can achieve a balanced asset allocation across various regions and sectors. This approach reduces the impact of local market volatility and economic downturns, ultimately enhancing potential returns and promoting long-term financial stability.
Who Should Invest in International Mutual Funds?
International mutual funds are suitable for investors seeking diversification beyond their domestic markets. Those interested in accessing global growth opportunities, especially in emerging economies, can benefit from the potential for higher returns while spreading risk across various regions and sectors.
Additionally, investors with a longer time horizon and a higher risk tolerance may find international mutual funds appealing. These funds can help enhance overall portfolio performance by capturing gains from international markets, making them ideal for individuals looking to balance their investment strategies with global exposure.
Impact of Fund Manager Expertise on International Mutual Funds Performance
The expertise of fund managers significantly impacts the performance of international mutual funds. Experienced managers utilize in-depth market knowledge and analytical skills to make informed investment decisions, enhancing the potential for higher returns and effective risk management across diverse global markets.
Moreover, skilled fund managers can adapt strategies to changing market conditions, identifying lucrative opportunities and minimizing losses during downturns. Their ability to navigate complex international landscapes and utilize various investment approaches is crucial for optimizing fund performance and achieving long-term investor objectives.
How Much Money Should I Invest In International Mutual Funds?
Determining how much to invest in international mutual funds depends on your overall financial goals, risk tolerance and investment horizon. A common guideline is to allocate 10-20% of your total portfolio to international funds, ensuring diversification while managing potential risks.
Consider your current financial situation and how international investments fit into your broader strategy. Regularly reassess your allocation based on market conditions and personal circumstances, adjusting your investment amount as needed to maintain a balanced and diversified portfolio.
Taxation On International Mutual Funds
Taxation on international mutual funds typically depends on the investor’s country of residence and the fund’s structure. In many countries, gains from international mutual funds are subject to capital gains tax, which can vary based on the holding period.
Additionally, investors may face tax implications on dividends received from these funds. It’s essential to understand the specific tax treaties between countries to avoid double taxation. Consulting a tax advisor can help clarify obligations and optimize tax efficiency when investing in international mutual funds.
FAQs – International Mutual Funds List
International mutual funds are investment vehicles that allocate capital primarily in foreign securities, including stocks and bonds. These funds offer investors exposure to global markets, providing diversification and the potential for higher returns by tapping into emerging and developed economies worldwide.
Top International Mutual Funds #1: Motilal Oswal Nasdaq 100 FOF
Top International Mutual Funds #2: Franklin India Feeder – Franklin U.S. Opportunities Fund
Top International Mutual Funds #3: Kotak NASDAQ 100 FoF
Top International Mutual Funds #4: Edelweiss US Technology Equity FOF
Top International Mutual Funds #5: Edelweiss Gr China Equity Off-Shore Fund
These funds are listed based on the Highest AUM.
The best International Mutual Funds based on expense ratio include Mirae Asset NYSE FANG+ETF FoF, Navi US Total Stock Market FoF, Mirae Asset S&P 500 Top 50 ETF FoF, Navi NASDAQ 100 FoF and Invesco India – Invesco EQQQ NASDAQ-100 ETF FoF.
Investing in international mutual funds carries inherent risks, including currency fluctuations, geopolitical instability and market volatility. While they offer diversification and growth potential, investors should assess their risk tolerance and conduct thorough research to ensure alignment with their financial goals.
The best International Mutual Funds based on 3-Y CAGR include Mirae Asset NYSE FANG+ETF FoF, Mirae Asset S&P 500 Top 50 ETF FoF, Kotak NASDAQ 100 FoF, Motilal Oswal Nasdaq 100 FOF and Aditya Birla SL NASDAQ 100 FOF.
To invest in the best international mutual funds, research various options based on performance, fees and management. Use a reputable brokerage platform, such as Alice Blue, to facilitate investments and ensure the funds align with your financial goals and risk tolerance.
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Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time The securities quoted are exemplary and are not recommendatory.