𝗜𝗻𝗱𝗶𝗮𝗻 𝗧𝗿𝗮𝗱𝗶𝗻𝗴 𝗔𝗽𝗽𝘀 𝗘𝘅𝗽𝗮𝗻𝗱 𝗨𝗦 𝗦𝘁𝗼𝗰𝗸 𝗔𝗰𝗰𝗲𝘀𝘀 𝗩𝗶𝗮 𝗚𝗜𝗙𝗧 𝗖𝗶𝘁𝘆
Four major Indian brokerages obtained permissions to offer international stock market access. The International Financial Services Centres Authority (IFSCA) granted these approvals.
Licence Details:
- Groww and Upstox received Global Access Provider (GAP) licences.
- Zerodha and Angel One received broker-dealer approvals.
Operational Roles:
- GAP licence holders connect with US brokers for trade settlement.
- Broker-dealers partner with GAP operators and American brokerage firms to provide services.
Market Data:
- Indian investors allocated $440 million to overseas equities in March.
- This amount represents a 43% increase from $306 million in March last year.
- US equity trading activity rose by 20% on June 15.
Regulatory Context:
- The Liberalised Remittance Scheme (LRS) allows individuals to remit up to $250,000 annually for overseas assets.
- Groww and Zerodha received approvals on June 2.
- Angel One received its licence on June 12.
- New players join existing firms like Vested Finance and IndMoney.
GIFT City Activity:
- Fintech firms are seeking licences to manage cross-border financial transactions.
- Payment companies are evaluating the GIFT City framework for wallet-based services.
- These services aim to facilitate international fund transfers and cross-border payments.