Top retail brokers Zerodha, Groww, Angel One, and Upstox have secured permission from the International Financial Services Centres Authority (IFSCA) to allow Indian investors direct access to US stock markets, marking a significant expansion in cross-border investing options.
- IFSCA greenlights four major Indian brokers to offer US stocks
- Zerodha and Upstox to act as broker-dealers using international clearing partners
- Groww and Angel One to utilize the low-cost global access provider model
What happened
The International Financial Services Centres Authority (IFSCA) recently approved India’s leading discount brokerages Zerodha, Groww, Angel One, and Upstox to provide Indian retail investors the ability to buy US and other international stocks through GIFT City. Zerodha and Upstox will function as broker-dealers, routing trades via international clearing firms such as Interactive Brokers, ViewTrade International, and Alpaca Securities.
Meanwhile, Groww and Angel One will operate under the global access provider (GAP) framework, which offers a regulated, low-cost pipeline for retail capital flows with benefits like zero withdrawal fees for repatriation of funds to India. The platforms anticipate launching these international investing capabilities within two to three months after finalizing compliance and technology setups.
Why it matters
This regulatory green light is a major step in broadening Indian retail investors' access to global equities under a single, regulated framework. It meets rising demand from investors seeking geographic diversification and exposure to global tech megatrends such as artificial intelligence and semiconductors, sectors not easily available within the domestic market.
What to watch next
Market participants should monitor how quickly these brokerages roll out cross-border trading capabilities and how the competitive landscape evolves, especially with other platforms like INDmoney, Smallcase, and HDFC Securities already offering international investing options through alternative channels.
The success of this initiative could catalyze deeper integration of Indian retail investors into global markets, potentially driving higher trading volumes and shifts in capital allocation patterns. Regulators and brokers will also watch for client adoption rates and operational challenges as compliance and technology frameworks are tested.