Vested Finance, an online investment platform that enables Indian investors to invest in the US stock market, has observed a variety of investing behaviors and patterns from Indian investors on their platform for the first half of the year, 2021.
Vested Finance has seen 80% growth in their user base during the first half of 2021. The company has seen consistent market affinity towards technology stocks. In terms of number of trades, Tesla continues to be the investor favorite followed by Apple, Microsoft and Amazon. Interestingly however, the overall percentage of Vested Finance customers owning Tesla shares dropped from 11.5% at the start of the year to 9.2% by June 2021, indicating that new users on the Vested platform were not so gung-ho about Tesla.
At the same time, the market has witnessed some unusual trends including a massive influx into meme stocks such as GameStop and AMC Entertainment Holdings. AMC ended the H1 in the top 10 most popular stock on the platform and is still held by 0.9% of Vested Finance users. Following the crypto currency momentum, Coinbase was the first crypto exchange to be listed on the stock exchange and was another stock that was quick to become an Indian investor favorite post their IPO in April 2021. It is the 10th popular stock purchased on the Vested platform and is held by 1.3% of the Vested customers, till today.
Mr. Viram Shah, CEO and Co-Founder, Vested Finance said, “Global Investments have gained momentum in the last couple of years. The awareness around brands combined with tech IPOs are bringing more and more people to our platform. Indians who are avid consumers of these global brands have now started investing in them to build their wealth. We are still in early days in terms of global diversification from India. As investor awareness grows and as technology makes the investing journey simpler, we will see more and more investors diversify their portfolio internationally through Vested.”
Other than investing in specific stocks directly, Indian investors have also shown interest in ETFs. ARK ETFs continue to be a popular choice among Indian investors. ARKK, the innovation focused ETF and ARKG, the Genomics focused ETF are both consistently in the top 10 ETF choices as investors look to invest into emerging themes.
The S&P 500 (VOO) and Nasdaq 100 (QQQ) index ETFs are common choices along with VGT, Vanguard’s Technology Focused ETF. IAU, the Gold ETF and VYM, Vanguard’s High Dividend Yield ETF are two popular choices as well.