The domestic fall, the overseas rise
While the Nifty 50 fell 12.4% in 2026 to 19 October, funds that invest abroad went the other way. Among the 51 funds in the "FoF Overseas" category (Direct Growth, with a year-to-date return), the median is +14.9%, and 48 are positive. The best is +45.1%, the weakest −4.6%.
Two things drive that: what the foreign markets did, and what the rupee did to the conversion.
The rupee's share
The dollar cost ₹89.77 on 31 December 2025 and ₹94.92 on 19 October 2026: 5.7% more. A fund holding US assets earns the dollar return and then the rupee move on top. Our twelve-month rupee post shows the full path.
Take a Nasdaq-100 fund of funds up about 22% in rupees: dividing out the 5.7% leaves roughly 15% in dollars. So about a quarter of the rupee gain comes from currency, and it would reverse if the rupee strengthened. This is our own arithmetic, not a published figure.
US index funds
| Fund | Type | 2026 so far |
|---|---|---|
| Mirae Asset S&P 500 Top 50 ETF FoF | S&P 500 Top 50 | +47.2% |
| Motilal Oswal Nasdaq 100 FoF | Nasdaq-100 | +34.3% |
| Invesco India EQQQ Nasdaq-100 ETF FoF | Nasdaq-100 | +22.9% |
| Kotak US Specific Equity Passive FoF | US large cap | +22.6% |
| Aditya Birla Sun Life US Equity Passive FoF | US large cap | +22.6% |
| Axis NASDAQ 100 US Specific Equity Passive FoF | Nasdaq-100 | +22.2% |
| ICICI Prudential NASDAQ 100 Index Fund | Nasdaq-100 | +22.0% |
| Navi NASDAQ100 US Specific Equity Passive FoF | Nasdaq-100 | +21.1% |
| Motilal Oswal S&P 500 Index Fund | S&P 500 | +18.5% |
The group is wide: nine funds that all invest in US large caps range from +18.5% to +47.2%. The top fund tracks only the 50 largest companies of the S&P 500, a narrower slice than the others, and the Motilal Oswal Nasdaq 100 fund sits in our domestic fund-of-funds category rather than the overseas one. Among five passive Nasdaq-100 funds, the spread is much narrower, +21.1% to +22.9%; costs and tracking explain small differences like that. Our post on international funds and the rupee covers fees and rupee effects.
Beyond the US
| Fund | Exposure | 2026 so far |
|---|---|---|
| Nippon India Taiwan Equity Fund | Taiwan | +82.8% |
| HSBC Brazil Fund | Brazil | +33.5% |
| Mirae Asset Global X AI & Technology ETF FoF | Global AI | +28.6% |
| Edelweiss Emerging Markets Opportunities Offshore Fund | Emerging markets | +28.5% |
| Nippon India Japan Equity Fund | Japan | +24.6% |
| HSBC Global Emerging Markets Fund | Emerging markets | +23.2% |
| Edelweiss Greater China Equity Offshore Fund | China | +16.1% |
| Axis Greater China Equity FoF | China | +14.7% |
The Taiwan fund's +82.8% is the highest of any equity fund in our data this year. Concentration is the other side of that: a single-country fund can lead a year and trail the next, as our look at last year's top funds shows for domestic categories.
Bond and real-estate funds
Overseas debt funds have earned a lot less: ABSL US Treasury 1–3 Year Bond ETFs FoF is up 6.7%, the 3–10 year version 3.2%, DSP US Specific Debt FoF 2.2% and Axis US Specific Treasury Dynamic Debt FoF 1.8%. Real-estate funds are down: Kotak International REIT −4.6% and Mahindra Manulife Asia Pacific REITs −2.2%. The weakest equity theme is the Invesco India Global Consumer Trends fund at −4.5%.
Things to keep in mind
- Currency cuts both ways. A stronger rupee would reduce these returns.
- One year is short. The 2026 leaders are those that held the right markets this year. Our table of last year's top funds shows how little rank carries over.
- Costs and taxes differ from domestic funds. Check each scheme's expense ratio, which for a fund of funds sits on top of the underlying fund's cost, and the tax treatment, which can differ from equity funds.
- Availability varies. Fresh purchases in some overseas funds may be limited; check the scheme's current terms.
Figures are Direct Growth NAV returns from 31 December 2025 to 19 October 2026 for funds with a full year-to-date figure. This is a description of the past, not advice to invest overseas.
Frequently asked questions
How have overseas mutual funds done in 2026?
To 19 October 2026, the median of 51 overseas funds of funds (Direct Growth) is +14.9% year to date. 48 of 51 are positive, and returns range from −4.6% to +45.1%. The Nifty 50 is down 12.4% over the same period.
How much of the return is the rupee?
The US dollar has risen from ₹89.77 on 31 December 2025 to ₹94.92 on 19 October 2026, a 5.7% rise. A fund holding dollar assets gets that added to its dollar return when measured in rupees, so a Nasdaq-100 fund up about 22% in rupees was up about 15% in dollars.
Which overseas funds did worst?
Real-estate and consumer-theme funds. Kotak International REIT Overseas Equity Active FOF is down 4.6%, Invesco India Global Consumer Trends FoF 4.5% and Mahindra Manulife Asia Pacific REITs FOF 2.2%. Only three of the 51 funds are negative.
This is commentary on published data, not investment advice. WealthTicker is not a SEBI-registered adviser or distributor. Figures are WealthTicker’s own calculations from public data — AMFI’s fund NAVs and disclosures, NSE’s index and FII/DII files, and the fund houses’ monthly portfolios (how we calculate). They are as of the dates stated and can be revised by their source.
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