Groww and Zerodha Grant Indian Retailers Direct Access to U.S. Equities

Indian retail investors can now buy U.S. stocks directly through major domestic brokerage apps, a shift that removes the previous requirement to hold wealth with global banks. This change allows millions of ordinary traders to allocate funds to American tech giants while the local market lags behind global peers.

Groww, which serves more than 29 percent of the country's 46 million active brokerage clients, launched its U.S. equity feature earlier in October. The platform offers access to over 10,000 U.S. stocks and exchange-traded funds, including fractional share ownership. Harsh Jain, co-founder and chief operating officer, stated that Nvidia, SpaceX, Apple, Alphabet, Amazon, Micron, and Meta have been the most popular choices among early users.

Zerodha, the second-largest platform with a 15 percent share of active clients according to NSE data, is currently beta testing similar features. The company expects a full launch within a few weeks. Angel One, which manages 6.7 million active retail clients, is also preparing to introduce U.S. stock trading capabilities.

The surge in interest stems from domestic market weakness. The Nifty 50 index has dropped nearly 13 percent since the start of the year, while the S&P 500 has gained more than 12 percent. Somnath Mukherjee, vice president of corporate development at Zerodha, noted that India lacks local artificial intelligence champions and faces high valuations, driving investors toward U.S. offerings. He also pointed to the rupee's decline against the dollar as a factor encouraging investors to hold assets in a different currency.

Outward money flows reflect this shift. In August, Indian residents sent more than $321 million abroad for equity and debt investments, a 111 percent increase from the same period last year. For the financial year ending in March 2026, total outward remittances for investments reached $2.6 billion. Tanvi Kanchan of Anand Rathi Shares & Stock Brokers observed that investment now constitutes 11.7 percent of total outward remittances, up from 5.8 percent a year ago.

Foreign investors have pulled a record $32.5 billion from direct Indian equities since January, according to NSDL data. The rupee has faced additional pressure from higher energy bills linked to the Iran war, prompting central bank intervention. Nitin Jain of Kotak Mahindra Asset Management Singapore warned that as participation grows, regulators may reconsider the open access model if the currency remains under stress.