A flood of international funds to choose from. Should you invest?
Synopsis
The investing logic is unbeatable, the tax advantage is no longer significant and the exchange rate provides an additional cushion. However, just like domestic funds, the basic principles of investing cannot be passed by. In fact, because few Indian investors keep day-to-day tabs on the global business and investing environment the way they do for India, fund choice becomes even more critical.
Since the beginning of February, in just four months, Indian mutual fund companies have launched as many as eight new international funds. In fact, four of these have been launched (or are in the process of being launched) during the current month alone. If you add two funds that were launched in the last week of 2020, this comes to 10 international funds launched in five months. This is by far the highest pace at which new international funds