London Stock Exchange ETF segment · UCITS ETF
Invest in RTWO ETF from India
Indian and foreign residents can buy L&G Russell 2000 US Small Quality UCITS ETF (RTWO) units directly through Paasa.
By Paasa · Updated
RTWO at a glance
- Price
- $134.90+$0.87 (0.65%)
- Expense ratio
- 0.3%
- Day range
- $134.90 – $134.93
- Assets
- $221.6M
- Domicile
- Ireland
- Holdings
- —
- Launched
- 2008
- Dividends
- Accumulating
- 1 month
- -5.59%
- 6 months
- +14.43%
- YTD
- +13.12%
- 1 year
- +16.82%
- 5 years
- +37.75%
Price change, excluding dividends.
Top 10 holdings
- 1BRINKER INTL INC USD 0.10.7%
- 2MOELIS + CO USD 0.010.7%
- 3KRYSTAL BIOTECH INC USD 0.000010.6%
- 4TWIST BIOSCIENCE CORP USD 0.000010.6%
- 510X GENOMICS INC USD 0.000010.5%
- 6DAVE INC USD 0.00010.5%
- 7SSR MNG INC NPV0.5%
- 8INTERDIGITAL INC PA USD 0.010.5%
- 9ALKERMES PLC USD 0.010.5%
- 10FIRSTCASH HLDGS INC USD 0.010.5%
These 10 are 5.5% of the fund.
Where the money is invested
Sectors
- Healthcare20.0%
- Financial Services18.4%
- Technology14.7%
- Industrials12.4%
- Consumer Cyclical9.2%
- Energy6.8%
Countries
- United States94.4%
- Bermuda1.5%
- United Kingdom0.8%
- Ireland0.7%
- Switzerland0.6%
- Canada0.5%
How to invest in RTWO 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 RTWO and buy
Find the fund by its ticker, RTWO, on the London Stock Exchange ETF segment, and place your order.
Why invest in RTWO from India
What RTWO holds
The L&G Russell 2000 US Small Cap Quality UCITS ETF, often referred to as "the Fund," is structured to accurately replicate the market performance of a specific benchmark. This benchmark is the Russell 2000 0.4 Quality Target Exposure Factor Net Tax Index, which "the Fund" aims to closely follow.
Outside US estate tax
RTWO is domiciled in Ireland, not the US, so it is not a US-situs asset and US estate tax does not apply to it.
Dividends reinvested for you
Dividends from RTWO's holdings are reinvested inside the fund, so nothing is paid out to you and there is no dividend to declare in India.
Hold a dollar asset
RTWO 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 RTWO's UCITS structure matters for Indian investors
RTWO 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 RTWO from India?
Yes. Indian residents can buy L&G Russell 2000 US Small Quality UCITS ETF (RTWO) 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 RTWO invest in?
Its largest holdings are BRINKER INTL INC USD 0.1 (0.7%), MOELIS + CO USD 0.01 (0.7%) and KRYSTAL BIOTECH INC USD 0.00001 (0.6%). Healthcare is its largest sector at 20.0%. It is an accumulating fund domiciled in Ireland.
What is the expense ratio of RTWO?
L&G Russell 2000 US Small Quality UCITS ETF has an expense ratio of 0.3% a year, taken from the fund's assets rather than billed to you. The fund manages about $221.6M.
Is RTWO a UCITS ETF, and why does that matter for Indian investors?
Yes. L&G Russell 2000 US Small Quality 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.
Does RTWO pay dividends?
No. L&G Russell 2000 US Small Quality UCITS ETF is an accumulating fund. Dividends from its holdings are reinvested inside the fund, so nothing is paid out to you and there is no dividend to declare in India.
What tax do I pay in India when I sell RTWO?
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.