Global Funds Look to India as Financial Market Jitters Pick Up

Global Funds Look to India as Financial Market Jitters Pick Up

India is shaping up to be a destination for investors seeking a relative shelter from financial volatility linked to the US election.

A steady influx of foreign capital has positioned the nation’s bonds among top performers in developing markets this year, while the country’s stock market hit a record high last month, buoyed by robust domestic liquidity. India’s appeal is driven by a blend of structural factors: stable political ties with both the US and Russia, capital controls that curb hot money flows, and a currency that’s less impacted by big dollar moves than emerging market peers.

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