London Stock Exchange ETF segment · UCITS ETF
Invest in DFNS ETF from India
Indian and foreign residents can buy VanEck Defense UCITS ETF (DFNS) units directly through Paasa.
By Paasa · Updated
DFNS at a glance
- Price
- $58.07-$0.71 (1.21%)
- Expense ratio
- 0.55%
- Day range
- $58.01 – $59.08
- Assets
- $6.9B
- Domicile
- Ireland
- Holdings
- 44
- Launched
- 2023
- Dividends
- —
- 1 month
- -8.48%
- 6 months
- -11.81%
- YTD
- -5.62%
- 1 year
- -9.72%
- 5 years
- —
Price change, excluding dividends.
Top 10 holdings
- 1Palantir Technologies Inc8.9%
- 2Rtx Corp7.6%
- 3Hanwha Aerospace Co Ltd7.2%
- 4Thales Sa7.1%
- 5Saab Ab5.7%
- 6Elbit Systems Ltd5.7%
- 7Leonardo Spa5.6%
- 8Curtiss-Wright Corp4.4%
- 9Kongsberg Gruppen Asa4.1%
- 10Singapore Technologies Engineering Ltd3.7%
DFNS holds 44 securities in total. These 10 are 60.1% of the fund.
Where the money is invested
Sectors
- Industrials80.5%
- Technology19.5%
Countries
- United States47.0%
- South Korea11.5%
- France9.4%
- Israel7.0%
- Sweden5.7%
- Italy5.6%
How to invest in DFNS from India
Step 1
Open your Paasa account
KYC takes a few minutes: PAN, Aadhaar and address proof. Your brokerage account is opened in your own name with Interactive Brokers.
Step 2
Add funds from your Indian bank account
Remit up to $250,000 a year under the RBI's Liberalised Remittance Scheme. Your bank converts the rupees to US dollars at its rate on the day you remit.
Step 3
Search DFNS and buy
Find the fund by its ticker, DFNS, on the London Stock Exchange ETF segment, and place your order.
Why invest in DFNS from India
What DFNS holds
The ETF provides exposure to companies involved in the defense industry, including military hardware, cybersecurity, and relevant services. It tracks the MarketVector Global Defense Industry Index, which is composed of companies worldwide that generate at least 50% of their revenues from the defense sector.
Outside US estate tax
DFNS is domiciled in Ireland, not the US, so it is not a US-situs asset and US estate tax does not apply to it.
Hold a dollar asset
DFNS is priced in US dollars, so a weaker rupee adds to what it's worth in rupees. The rupee depreciated over 85% against the dollar between 2010 and 2025.
Paasa handles the paperwork
Investing abroad brings paperwork with it: remittance filings, capital gains reporting, foreign asset disclosure. Paasa prepares all of it for you. Your India-ready tax reports arrive at year end, ready to file.
Why DFNS' UCITS structure matters for Indian investors
DFNS is domiciled in Ireland, not the US, so it is not a US-situs asset and US estate tax does not apply to it.
On the US shares the fund holds, the 15% US dividend withholding is paid inside the fund, and you cannot claim it as a Foreign Tax Credit in India.
Capital gains are taxed in India the same way as on a US-listed ETF.
Frequently asked questions
Can I buy DFNS from India?
Yes. Indian residents can buy VanEck Defense UCITS ETF (DFNS) through Paasa. It is listed on the London Stock Exchange ETF segment and trades in US dollars. Your money leaves India under the RBI's Liberalised Remittance Scheme, and the units are held in your own name at Interactive Brokers.
What does DFNS invest in?
VanEck Defense UCITS ETF holds 44 securities. Its largest holdings are Palantir Technologies Inc (8.9%), Rtx Corp (7.6%) and Hanwha Aerospace Co Ltd (7.2%). Industrials is its largest sector at 80.5%. The fund is domiciled in Ireland.
What is the expense ratio of DFNS?
VanEck Defense UCITS ETF has an expense ratio of 0.55% a year, taken from the fund's assets rather than billed to you. The fund manages about $6.9B.
Is DFNS a UCITS ETF, and why does that matter for Indian investors?
Yes. VanEck Defense UCITS ETF is a UCITS fund domiciled in Ireland. Because it is domiciled outside the US, it is not a US-situs asset, so US estate tax does not apply to it. On the US shares the fund holds, the 15% US dividend withholding is paid inside the fund, and you cannot claim it as a Foreign Tax Credit in India.
What tax do I pay in India when I sell DFNS?
In India, gains on foreign ETF units held for more than 24 months are long-term and taxed at 12.5% without indexation, and gains on units held for 24 months or less are short-term and taxed at your income-tax slab rate. Both are worked out in rupees at the USD/INR rate on the day you bought and the day you sold, so the currency move is part of the gain. Paasa's capital-gains statement gives you the figures for your return.