India’s equity market is set to get a $1.5 billion boost with the addition of nine more stocks to the MSCI Emerging Markets Index, a benchmark tracked by investors with trillion of dollars under management.
The rise in capital flows to Indian stocks is a reflection of strong market fundamentals and growing foreign investor interest in the equity market of Asia’s third-largest economy, analysts say.
“The addition to MSCI’s EM Index is a significant development for India’s stock markets … and is a testament to India’s growing importance as an emerging market economy” says Amit Goel, co-founder and chief global strategist at Pace 360, an asset management company based in New Delhi.
Fidelity Emerging Markets Limited (LON:FEML) is an investment trust that aims to achieve long-term capital growth from an actively managed portfolio made up primarily of securities and financial instruments providing exposure to emerging markets companies, both listed and unlisted.
