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Launch HN: Inri (YC W23) – Wealthfront for Investing in India

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Re: Launch HN: Inri (YC W23) – Wealthfront for Investing in India

#31

Post by nsenifty »

hemantgangolia wrote: post #26
nsenifty wrote: post #10

Do you help US-based investors with PFIC taxation (see Steps 4 and 5 here)? ( https://www.taxesforexpats.com/guides/passive-foreign-invest... ). This is a huge pain point for US persons investing in foreign mutual funds. This made me liquidate all my ETFs/mutual funds in India and move the money to individual stocks or property. If you can make it easy for NRIs to invest in a basket of individual stocks, a NRI-friend…

Yes, we know about PFIC taxation and help investors with Mark-to-Market Accounting. Further, Inri provides tax support as part of the product offering, thereby abstracting the pain of tax reporting.

That's great! You should add that to your FAQs (spell it out specifically).

How do you factor the US taxation at marginal rate (instead of the more favorable long term capital gain tax rate) factor into your ROI comparison between investing directly in India vs an US-based India fund (which enjoys all the tax benefits)?

Re: Launch HN: Inri (YC W23) – Wealthfront for Investing in India

#32

Post by eldaisfish »

wtmt wrote: post #16

A few comments and advice on investing in India. The target audience for this would know this, but it's useful to be reminded. INR (Indian Rupee) depreciates on average about 4% each year against USD (US Dollar). When you look at the gains from investments in India in USD terms, it would be lower due to the continuously weakening currency. As an emerging market and one with a still-developing stock market, the return…

To add, insider trading and financial misreporting is rampant in Indian stocks. Just look at the recent Hindernberg report on Adani as a starting point. The shocking aspect is that this is accepted as the norm.

US stock markets and regulations are not without fault but they are leagues better than stocks in countries like India and China.

Oh and to add on to another excellent point you brought up - Indian regulations are unstable and change on a whim. India’s government recently proposed subjecting long term debt holdings to tax, a move that is widely criticized.

Re: Launch HN: Inri (YC W23) – Wealthfront for Investing in India

#33

Post by newhotelowner »

hemantgangolia wrote: post #27
itissid wrote: post #8

Question: how do the rules introduced( https://sbnri.com/blog/nri-income-tax/union-budget-2023-for-... ) in the Union Budget 2023 for taxing outward remittances (i.e. on moving money from India to US) affect you?

The Liberalised Remittance Scheme is applicable to Indian residents and not Indian expats whereas Inri is an investment product for Indian expats remitting to India from a foreign country. https://m.rbi.org.in/scripts/FAQView.aspx?Id=115

> Indian expats remitting to India

But eventually I have to remit back my profit? I will be affected right?

Re: Launch HN: Inri (YC W23) – Wealthfront for Investing in India

#34

Post by newhotelowner »

jacquesm wrote: post #29

Would it make sense to offer this to a wider audience? Why limit it to just Indian expats?

I think you need a special bank account that is only available to Indians living outside and it's a nightmare to keep it active/open.

Re: Launch HN: Inri (YC W23) – Wealthfront for Investing in India

#37

Post by nish93 »

velavar wrote: post #36

This is awesome - exactly the thing I was looking for! Apologies if I missed it but what are the fees for using this service?

We charge a flat 1% advisory fees for all capital invested through us, we have an early bird offer running that waives this off for the first year.

Re: Launch HN: Inri (YC W23) – Wealthfront for Investing in India

#39

Post by jagan120 »

hemantgangolia wrote: post #26
nsenifty wrote: post #10

Do you help US-based investors with PFIC taxation (see Steps 4 and 5 here)? ( https://www.taxesforexpats.com/guides/passive-foreign-invest... ). This is a huge pain point for US persons investing in foreign mutual funds. This made me liquidate all my ETFs/mutual funds in India and move the money to individual stocks or property. If you can make it easy for NRIs to invest in a basket of individual stocks, a NRI-friend…

Yes, we know about PFIC taxation and help investors with Mark-to-Market Accounting. Further, Inri provides tax support as part of the product offering, thereby abstracting the pain of tax reporting.

Arent ETFs tracking Indices a better option rather than Index Funds itself because of the PFIC rules?

Re: Launch HN: Inri (YC W23) – Wealthfront for Investing in India

#40

Post by nish93 »

Thanks for the amazing response and great questions so far! Just to add - if you are in Bay Area, we are doing an event to clarify all these and similar doubts here - https://lu.ma/inri

Keep posting your questions and we're happy to answer! Do try out the platform if you're interested.

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