The revised minimum investment is effective August 25, 2026. At an exchange rate of roughly ₹87 to the US dollar, the minimum investment has fallen from about ₹4.35 lakh to approximately ₹43,500.
PPFAS GIFT currently offers two GIFT City-based outbound funds — the Parag Parikh IFSC S&P 500 Fund of Fund and the Parag Parikh IFSC Nasdaq 100 Fund of Fund.
Both are passive strategies that invest in accumulating exchange-traded funds (ETFs) and UCITS, giving investors exposure to the respective US equity indices without requiring them to open foreign brokerage accounts, according to PPFAS GIFT.
The Parag Parikh IFSC Nasdaq 100 Fund of Fund tracks the Nasdaq-100 Index, comprising 100 of the largest non-financial companies listed on the Nasdaq Stock Exchange. The index has significant exposure to sectors such as technology, communications and consumer services and is generally viewed as a proxy for the US technology sector.
The Parag Parikh IFSC S&P 500 Fund of Fund tracks the S&P 500 Index, comprising 500 leading publicly traded US companies. The index is a float-adjusted, market-capitalisation-weighted benchmark designed to represent the US large-cap equity market.
Minimum investment cut
In notice-cum-addendums dated August 21, PPFAS GIFT said the minimum initial subscription for both schemes had been reduced from $5,000 to $500. The revised threshold applies prospectively to new subscriptions from the effective date specified by the Fund Management Entity (FME).
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The threshold below which the FME can redeem all units in the event of a partial redemption has also been reduced, to $100 from $1,000. This change will also apply prospectively.
Other AMC funds and investment limits
Several other asset management companies also offer funds through the International Financial Services Centre (IFSC) structure, although minimum investment requirements vary.
Tata Asset Management’s India Dynamic Equity Fund, an inbound fund investing in Indian equities across multi-cap and thematic strategies, has a minimum investment requirement of $500.
DSP Mutual Fund’s Global Equity Fund, an outbound fund investing in large-cap companies across markets including the US, Europe, Japan, Hong Kong, South Korea and Canada, requires a minimum investment of $5,000.
Edelweiss Mutual Fund’s Greater China Equity Fund, which provides exposure to Greater China equities through a JPMorgan feeder structure, has a minimum investment requirement of $10,000.
Resident Indians investing in outbound funds through the IFSC route are subject to the Liberalised Remittance Scheme (LRS) limit of $250,000 per financial year.
Inbound funds, meanwhile, are restricted to non-resident Indians (NRIs), Overseas Citizens of India (OCIs) and foreign nationals.
