PPFAS GIFT cuts minimum investment in S&P 500, Nasdaq 100 funds from $5,000 to $500

PPFAS Alternate Asset Managers IFSC Private Limited (PPFAS GIFT) has reduced the minimum initial investment for its two outbound passive funds from US$5,000 to US$500, effective August 25, 2026. The move lowers the entry threshold for eligible Indian investors seeking exposure to global equities through GIFT City.

The two funds affected are the Parag Parikh IFSC S&P 500 Fund of Fund and the Parag Parikh IFSC Nasdaq 100 Fund of Fund. With the revised minimum, investors can access the funds with an initial investment that is one-tenth of the earlier requirement.

At the current USD-INR exchange rate cited in the information provided, US$5,000 is approximately ₹4.79 lakh, while US$500 is around ₹47,864. This represents a reduction of roughly ₹4.31 lakh in the minimum investment requirement.

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Hema Thakkar, Head – Business Development (Alternatives), PPFAS, said the reduction was intended to make global diversification accessible to a wider set of eligible investors. According to Thakkar, the funds were launched to provide a simple and transparent route to global markets through GIFT City, and lowering the investment threshold allows investors to build international exposure with a smaller initial commitment.

Exposure to S&P 500 and Nasdaq 100

The Parag Parikh IFSC S&P 500 Fund of Fund provides passive exposure to the S&P 500, an index comprising 500 leading publicly traded US companies. The index is market-capitalisation weighted and represents a broad segment of the US large-cap equity market.

The Parag Parikh IFSC Nasdaq 100 Fund of Fund provides exposure to the Nasdaq 100, which comprises the 100 largest non-financial companies listed on the Nasdaq Stock Market. The index has significant representation from technology, communications and consumer-oriented businesses.

Both funds invest in ETFs and UCITS linked to their respective indices. PPFAS GIFT said the structure allows investors to gain exposure to global equity markets without having to open or manage a foreign brokerage account.

The funds are denominated in US dollars and, according to PPFAS GIFT, have no lock-in period or exit load.

Other threshold also revised

The reduction in the minimum investment was outlined in separate notice-cum-addendums dated August 21, 2026, for both funds. The revised minimum subscription of US$500 applies prospectively to new subscriptions from the effective date specified by the fund management entity.

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PPFAS GIFT has also reduced the outstanding investment threshold linked to its right to redeem all units in case of part redemption. This threshold has been reduced from US$1,000 to US$100, with the change also applying prospectively.

PPFAS GIFT is a subsidiary of Parag Parikh Financial Advisory Services Limited (PPFAS) and currently offers the two GIFT City-based outbound passive funds.

The lower minimum investment gives eligible investors a significantly smaller entry point to index-linked international equity strategies, while retaining the funds’ existing passive investment approach and global market exposure.

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