India will continue seeing steady interest from global fund managers: EPFR Global

Foreign institutional investors or FIIs emerged as net buyers of Indian shares after a gap of 10 months in August, powering the recent gains on Dalal Street. According to Cameron Brandt, Director of Research at EPFR Global, this trend will continue at least in the short term as India has emerged as an alternative to the funds that have pulled out from China recently.

A large chunk of the FII money that has come into India has come via emerging market (EM) funds and within that India has received a larger share.

When asked if that trend will continue, Brandt said, “I don’t see much competition at the moment from any of second-tier markets and I think India is likely to see pretty steady interest from the general fund managers.”