First, let’s analyze the benefits and risks. Good way to diversify your assets, opportunity to get hold of world leading stocks. However, this is subject to risk.

1. It is a good way of diversifying your assets in international markets, US being of course a global power.
2. Why not get hold of stocks like Apple, Alphabet, Facebook, Amazon etc.? They are the global leaders in their fields.
3. Since Rupee is expected to depreciate against dollar, it provides you that advantage.
   1. e.g. say you had invested 62,00,000 (=$100,000) couple of years ago when $1=Rs62.
   2. Today $1= Rs 76. So even if the stocks gave zero returns, your portfolio would still be Rs 76L (positive by around 23%). That’s the advantage of investing in a strong economy, the appreciation of their currency can be utilized
4. You can invest in index funds like S&P500, Nasdaq 100 etc which gives advantage of further diversification.

Looks too good?

Lets also look at the negative parts:

• You’d be investing in stocks, so it’d be risky. Ensure you do your risk profiling and invest as per your risk appetite.
  • There are options for debt, however not aware of any in the Indian MF market as a fund !!
• Why only stick to one country for international exposure? There are funds which invest in global bluechips, Asian equity markets etc. So why not look at all possible opportunities and decide.
• What is the probability that Rupee would appreciate against dollar over the next few years? Seems low but if it happens, thats a big negative for investing in US markets.

One should plan his finances (and goals), analyze the risk-reward profile of an asset and accordingly do asset allocation and then invest, be it Indian markets or US or any other. And yes, I do invest a portion in funds taking global bluechip exposure !!