My entire Rs 80L equity portfolio is in India. Do I really need to invest in the US just for diversification?

You absolutely need to look beyond domestic markets because India accounts for just about 4% of the global market GDP. Relying entirely on Indian equities means you are taking on significant concentration risk and country-specific risk just because you were born in India.

A major reason to allocate internationally is to hedge against a depreciating currency. The Indian Rupee frequently tests record lows against the USD..

When you invest in markets like the US you are not just buying international businesses. ..you are also holding assets denominated in a stronger currency. Over time this currency appreciation itself becomes a highly meaningful contributor to your portfolio's overall returns. Also there are some massive global mega trends where India is simply not present at all.

AI, deep tech, robotics and semi-conductors are the future. You can only participate on these massive growth trends by investing internationally.

For broad exposure you could try something like the Vanguard S&P 500 ETF...this tracks the 500 largest US companies and gives access to tech giants like Apple, Microsoft and Nvidia. Nvidia alone is about 7% of this fund and is currently the world's most valuabled company. By adding this global exposure you are building a well-balanced portfolio that protects purchasing power and captures global innovation growth.

Also today its very easy to invest internationally, you can open an account in IBKR or INDMoney digitally and transfer funds from your india bank account in 2-3 days and start investing in 3 days..fully digital. Take care of the LRS limits and TCS if you plan to invest more than Rs10L in one year.

Disclaimer: All information shared above are strictly for educational and informational purposes only. It should not be construed as financial or investment advice.