Indian residents can now invest in dollar-denominated mutual funds in GIFT City, Gujarat, utilizing the Liberalised Remittance Scheme. This development offers a new avenue for portfolio diversification, particularly due to RBI restrictions on domestic overseas investments. Taxation is managed at the fund level, not the investor level, simplifying the process for individuals, listed and unlisted companies, LLPs, and partnership firms. NRIs may also invest, subject to jurisdictional regulations.