ETC/Mutual Fund Investment in India Vs Australia

pacareer2021 on 07/06/2021 - 23:16

I moved from India to Australia couple of years ago and have been working here since. I intend to settle down in Australia as of now, but cannot confirm if I will change my mind in future.

Having said that, I am looking for investment opportunities through ETF or Mutual Fund. I have invested in mutual funds in India while I was there and have got good returns. I am wondering if it makes financial sense to send money to Indian bank account and invest in mutual funds over there. At some point I may have to bring all the money over here once I've got good returns. Not very sure about tax implications.

On the other hand, I did see some investment opportunities here in Australia like VDHG, etc., which were good and popular.

I am just confused if I should invest in India or Australia for maximum return on my investment. Any comments on this is appreciated.

Also, how do I find a good financial advisor. I am not very wealthy person, but I am willing to pay a reasonable amount for investment advice. How do I find and approach financial advisors that can advise individuals?

Thanks in advance.

Financial

Comments

  • aerom on 08/06/2021 - 07:24
    +1

    Three things - inflation, cost and tax.
    I have invested in both markets and Indian one seems to be a bit better in returns, if you can deal with taxes better. Then again that is my personal experience and it may vary on amounts, location and the three things i mentioned above.

  • isthatallyougot on 08/06/2021 - 09:16
    +2

    I have been investing in India via the mutual fund route over the last year. I was lucky that I started investing soon after the markets tanked so my return have been pretty good. There have been a bunch of roboadvisors launched in the Indian market so they make your life pretty easy by helping manage and track your investments. I use goalwise / niyomoney but there are plenty of others.

    My view of investing in India is long term 10+ years so I haven't really looked at the tax implications point of things.

    If you at some point intend to bring the money back , you need to consider the FX rates as would definitely impact your returns if you need to convert back into AUD.

  • axlfan on 08/06/2021 - 09:53
    +1

    My views are: Long term returns may be good in India but the current situation is so bad and I am not sure if the stock market is reflective of it at present. India has entered recession and has the worst GDP growth in 40 years. The government was inept and caught sleeping at the wheel and also the folks handing finance matters are really terrible.

    Finally, the snap and terrible decision of demonetisation had really spooked me. Could draconian rules come in the present which will lock up your money in India or make withdrawals harder?

    All of this presents a grim outlook to me at least.

    But definitely do your own research.

    https://www.reuters.com/world/india/virus-disaster-leaves-de…

  • macrocephalic on 08/06/2021 - 10:55
    +1

    Plenty of ETF's track international markets if that makes things easier.

    Eg: https://www.betashares.com.au/fund/india-quality-etf/

    • knasty on 08/06/2021 - 11:13

      this…you get the market exposure you want but you don't have to deal with all the other issues pointed out above.

    • hdus002 on 08/06/2021 - 11:52

      Am I reading it wrong on that page or is "Fund Returns After Fees" consistently lower than Index?

      • macrocephalic on 09/06/2021 - 01:58

        Tbh I didn't look that closely.

  • rektrading on 08/06/2021 - 11:45
    +1

    “Never let a good crisis go to waste.” Sir W.C.

    Normies usually get rekt when they buy green candles and sell when they're red. Most gains come from buying red candles.

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