INSUBCONTINENT EXCLUSIVE:
Overseas funds are piling money into Indian stocks, marking a strong return to the $5 trillion market
Image: Bloomberg4 min read Last Updated : Sep 21 2024 | 9:01 AM ISTBy Abhishek Vishnoi and Winnie HsuOverseas funds are piling money into
Indian stocks, marking a strong return to the $5 trillion market after election-related uncertainty earlier this year triggered a brief
hiatus.
At $8.5 billion, net foreign purchases this quarter are poised to be the highest since the middle of 2023, data compiled by
said James Cheo, chief investment officer for Southeast Asia and India at HSBC Global Private Banking - Wealth in Singapore
The International Monetary Fund expects India to become the third-largest global economy by 2028, while Bloomberg Intelligence says it can
month of overseas flows into India
Foreigners had offloaded some $1 billion worth of shares in the April-June quarter
broader gauge of emerging-market equities is up about 2 per cent.
The Indian measure, on course for a sixth straight quarterly gain, is
twice as expensive as the MSCI Emerging Markets Index based on one-year forward earnings valuations
The Nifty 50 Index is trading at a multiple of about 21 times, versus a 10-year average of 18 times, data compiled by Bloomberg show.IPO
Local firms are seeking to benefit from an expanding economy and while smaller initial public offerings have dominated fund-raising this
rally, the cost of hedging against potential declines in the Nifty 50 gauge has also increased
party has announced cash handouts in some states ahead of regional polls
and Julius Baer Wealth Advisors Pvt., say they have advised clients to trim allocations to pricier pockets of the market.
For now though,
India is winning favor among global funds thanks also to a stable currency
Smartsun Capital Pte in Singapore
