GST in India as it completes five years -Sethurathnam Ravi BSE

Specific Schemes for Investments Predominantly in the US based stocks S Ravi

Sethurathnam Ravi, popularly known as S Ravi is the former chairman of Bombay Stock Exchange Limited (BSE). Currently he is the Founder and Managing Partner of Ravi Rajan & Co., an advisory and accountancy firm, headquartered in New Delhi, India. He is also an Associate Member of Association of Certified Fraud Examiners (CFE), USA, and also a registered Insolvency Resolution Professional. According to Sethurathnam Ravi, the former BSE Chairman, the process of investment in domestic mutual funds is established and hassle free.

Sethurathnam Ravi (S Ravi) is the former Chairman of Bombay Stock Exchange Limited (BSE) (November 2017 to February 2019) and Founder and Managing Partner of Chartered Accountants' firm Ravi Rajan & Co., an advisory and accountancy firm, headquartered in New Delhi, India. Mr. S Ravi is a Post Graduate in Commerce and holds a diploma in Information System Audit (DISA). He is an Associate Member of Association of Certified Fraud Examiners (CFE), USA and is also registered as an Insolvency Resolution Professional.

The process of investment in domestic mutual funds is established and hassle free. Investors intending to invest in foreign stocks can go through domestic mutual funds who have schemes mandated to invest in foreign stocks. PGIM India global equity opportunities fund, Nippon India US opportunity fund ICICI Prudential US blue-chip, DSP US flexible equity fund, Aditya Birla life GLOBAL emerging fund are some of the prominent mutual funds who have created a platform for investment overseas.

Investor's interest in international mutual fund is reflected by the fact that in the year 20-21 overseas investment increased by 300% amounting to INR 12400 crores as assets under management folios also jumped steeply to 6.97 lacs. Retail & HNI have invested heavily over the years. The investment can be made in Indian Rupees and redemption is in Indian rupees. Investing in overseas Mutual Fund which is non-domestic has its own challenges in terms of methodology of payment, foreign exchange fluctuation and taxation.

According to Sethurathnam Ravi, the most preferred investment vehicle is through domestic fund houses as data and performance is readily available. For investors those who have strong domestic presence, the most efficient mechanism is to invest through domestic fund houses who in turn invest through various schemes in foreign stocks. The pattern of investment in international mutual fund is different from that of investments in domestic mutual funds.

"An aspect which needs to be factored in this is that it is always better to invest medium or long-term perspective as one foreign stock give a good return over a period of time. Short-term investment in international mutual funds have witnessed volatility and thus should be avoided. Non-resident Indians have the liberty of investment from the country of residency. International mutual funds have delivered return of 27% in the last year", says Sethurathnam Ravi, the former BSE Chairman.

The three-year return is around 12% and the five-year return is approximately 13%. Investors still have the option to choose country specific investment through domestic fund house. There are specific schemes for investments predominantly in the US based stocks. Today the investor is equipped with data wherein fund performance is available along with NAV and returns, Sethurathnam Ravi concludes.