PPFAS IFSC Positions GIFT City as a Gateway for Indian Investors to Access 97% of Global Market Opportunities
Commenting on this shift, Hema Thakkar, Head – Business Development, PPFAS GIFT, said: “India may be a small part of global market capitalisation, but Indian investors are deeply connected to global businesses in their daily lives
India is one of the fastest-growing major economies, yet it accounts for only about 3%* of global market capitalisation. This means that almost 97%*of global investment opportunities are outside the Indian market. While Indian investors are active in global consumption, they still own only a small share of global assets.
It was set up in GIFT City in November 2024, with an intention of expanding the bouquet of services and products that could be offered to clients utilizing the GIFT platform. It is currently in advances stages of obtaining a FME (Retail) license under the IFSCA FME Regulations, post which it intends to launch an inbound fund, an outbound fund as well as Portfolio Management Services.
These funds give Indian investors a clear way to participate in global wealth creation through GIFT City’s regulatory and operational framework. Today, Indian investors use global businesses in many areas like technology, digital platforms, and consumer products. Even when products are “Made in India,” a significant part of the profits often flows back to the global parent companies. At the same time, most Indian investment portfolios remain largely India-focused. GIFT City is becoming a way for investors to move from just being consumers to also being owners. It helps them adjust their portfolios to match the global economy. Commenting on this shift, Hema Thakkar, Head – Business Development, PPFAS GIFT, said: “India may be a small part of global market capitalisation, but Indian investors are deeply connected to global businesses in their daily lives.GIFT City enables a regulated and efficient pathway to participate in these companies and benefit from global growth.”
With a minimum investment threshold of USD 5,000, the funds are positioned for:
Retail investors seeking global diversification
Family offices
Investors seeking to diversify beyond domestic equities and participate in global wealth creation through GIFT City
High Net worth Individuals (HNIs)
Additional structural features include:
Taxation at the fund level i.e. the redemption amount is completely net of tax obligations.
Potential mitigation of U.S. estate tax exposure
Simplified compliance compared to direct overseas investing.
