Mon, Aug 19, 2019
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Indian authorities open up market to qualified foreign investors

Wednesday, January 11, 2012

amb
Deepak Lalwani
By Beverly Chandler, Opalesque London:

Deepak Lalwani OBE, Lalcap founder, director and consultant to hedge and other funds interested in investing in India, explains that the Indian government’s recent initiative to open up their investment markets will apply to Qualified Foreign Investors defined as including "individuals, groups or associations, resident in a foreign country which is compliant with FATF and that is a signatory to IOSCO’s multilateral MoU. QFIs do not include FII/sub-accounts".

Lalwani said: "The move is to encourage more stable money coming in. They need to open up to increase capital flows."

The change in policy allows Qualified Foreign Investors (QFIs) to invest directly in the Indian equity market in order to widen the class of investors, attract more foreign funds, and reduce market volatility and to deepen the Indian capital market.

While inflows of foreign capital have increased in India over recent years, Lalwani explains that there is increasingly a discrepancy between institutional and private investment. "Will this move lead to a surge in foreign capital inflows that the country badly needs?" he asks. "In the short run, no as the Indian markets still face headwinds at a time also of global headwinds which have increased risk aversion for shares globally" he says.

However, over the medium to long term, maybe some one to three year time ......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Regulatory: Coming to America: US instigates major study into Mifid II[more]

    From IR Magazine: In the latest impact of Mifid II coming to America, a major investigation concentrating on research for small issuers has been successfully instigated by US politicians, on the back of the US coming closer to the European regulation. The US lower House of Congress, the House o

  2. Study: Quantitative investment strategies: Theory vs practice[more]

    From All About Alpha: When pitching an investment product with a backtested history the frequent response from potential investors is that they have never seen a bad backtest. Naturally this is true as there is no point in marketing a strategy with a poor backtest as investors have zero interest in

  3. 6 out of 10 investors seek to move assets from UK amid brewing of perfect storm[more]

    Opalesque Industry Update - Six out of 10 investors are now actively seeking to move assets out of Britain as a perfect storm looks set to hit the UK economy, reveals a new poll. The survey of more than 740 clients carried out by deVere Group, one of the world's largest independent financial

  4. Investing: Hedge funds take record short bets against Aston Martin, Investor sentiment reaching reversal point, says Lipper,It's time to buy into this long-suffering strategy, Investors, 'starved for returns,' flood private markets in search of high-growth opportunities[more]

    Hedge funds take record short bets against Aston Martin From FT: Hedge funds have taken record short positions in the debt and equity of Aston Martin, betting that the luxury carmaker will continue to struggle after one of the most disastrous stock market debuts of recent years.

  5. Crayhill Capital Management closes $100M transportation financing in Mexico[more]

    Bailey McCann, Opalesque New York: Private credit shop Crayhill Capital Management is providing a senior secured credit facility of up to $100 million to Mutuo Financiera, a vehicle fleet leasing company focused on clean energy passenger transportation in Mexico. Crayhill Capital Management is l