Rohan, a successful non-resident Indian (NRI) tech professional, believed he was taking the right steps toward financial growth by diversifying his investments. Over time, his portfolio expanded to include a rental property in India bought at peak prices, global ETFs (exchange-traded funds) acquired during a bull run, and high-risk debt instruments.
His Indian portfolio was equally scattered, featuring 25-30 mutual fund schemes and random stocks chosen based on tips from friends and online forums. Despite his proactive approach, Rohan's investments lacked direction.
His story highlights a common challenge faced by NRIs: balancing investments between India and global markets effectively. Rohan's strategy was reactive rather than goal-oriented. He was overexposed to high-risk assets, underinsured, and lacked contingency planning. More importantly, investments didn't align with his aspirations, such as funding his children's education abroad, creating a retirement corpus, or establishing an emergency fund.
Rohan's experience reflects a broader trend among NRIs. So, how can NRIs strike the right balance between Indian and global investments while addressing currency risks, taxation, and long-term financial goals?
Decision framework
This story is from the January 03, 2025 edition of Mint Bangalore.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the January 03, 2025 edition of Mint Bangalore.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
The Perks of Reflection and Daily Me-Time
Introspection helps one think more clearly, says Spinny CEO Niraj Singh
It's your touch that will push an AI co-worker to do better
AI agents help break down silos and improve decision-making and collaboration, but it's people who can leverage their benefits
Hiring Is Just The First Step Towards Inclusion
Persons with disabilities and those from marginalized groups need mentors and a supportive environment to grow in their careers
The Digital Data Protection rules have hits and misses
Some provisions can set a global example for age-gating but others would overburden data fiduciaries
The 'Asian Aunty' is smashing ageist and gender stereotypes
'Aunty' leaders are tackling a widely normalized form of 'othering'
Public debt: Do not let it eclipse the fiscal deficit
The Centre's plan to adopt debt as its new focus for budget prudence after 2025-26 does hold merit but we must not lose track of the fiscal gap. It'll remain a valuable economic indicator
Longevity Is Usually A Reward For Being Unspectacular
Careers That Endure Are Typically Not Spectacular. This Is So In Politics As Well As Other Fields
Get public-private partnerships right for target-oriented growth
The UK's new government should engage the private sector with deals that achieve public objectives
How to Use Home Loan Interest as Acquisition Cost
What to do with home loan interest
Inside Sebi's 30-month investigation
Though independent directors do not oversee a company's daily operations, Sebi has said that there is direct evidence of their involvement in the scam.
