Another plus of having investments in the US is that you can withdraw dollars to meet the expense there.
Going alone or taking one’s family to a long holiday in the US is most people’s dream. From Grand Canyon to Disneyland to the beaches in Florida, there’s so much to explore in the US for the entire family. A 10 to 15-day trip to the US doesn’t come cheap. A family vacation in the US could cost Rs 10 lakh upwards for a family of four. The rupee-dollar exchange rate may also spoil the spirit, especially when the rupee weakens against the dollar.
What better than to get the US markets to generate the money required to fund the big US holiday? Investing in US stocks not only gives you the opportunity to be a part of the world’s biggest companies but also gives you the option of investing very early into potential winners. Plus, many US stocks are known to declare big dividends to their shareholders.
The biggest advantage of course is you beat the perennial fall of the value of the rupee against the dollar. Which means you can set aside the extra money that would otherwise have been needed to cover the rupee decline for other investments or even spending on that US holiday.
Another plus of having investments in the US is that you can withdraw dollars to meet the expense there. What you save is the cross-country exchange rate which could translate into a saving of 25 per cent or even more going by the history of rupee-dollar relationship.