Chennai, August 16: <\/p>\n
India-focussed offshore funds and ETFs witnessed healthy inflows in the April-June quarter, according to a Morningstar study. India-focussed funds have received $2.6 billion, higher than the net inflow of $2 billion they had garnered in the preceding quarter ending March. <\/p>\n
So far this year (until June 2017), the category has received net assets worth $4.6 billion. During the same period last year, the India-focussed offshore funds and ETFs witnessed a net outflow of $2.3 billion, Morningstar said. <\/p>\n
An offshore India fund primarily invests in the domestic market, but is domiciled outside India. <\/p>\n
The assets of India-focussed offshore funds and ETFs moved up significantly to $55.2 billion during the quarter ended June, from $50.1 billion at the end of March. The total assets of the 10 largest India-focussed offshore funds and ETFs stood at $27.3 billion compared with $25.4 billion in the previous quarter and $20.5 billion as of June 30, 2016. <\/p>\n
The March 2017 quarter laid a strong foundation for the June quarter to build upon and excel. The Union Budget announced on February 1, 2017, was broadly in line with market expectations and re-emphasised the governments resolve towards bringing in key economic reforms, said Morningstar Investment Adviser India Private Ltd. <\/p>\n
Similarly, the outcome of the election of five States in BJPs favour fanned expectations that this would facilitate decision-making pertaining to significant reforms and strategic policies and would further enhance the implementation of economic measures in a smoother fashion going ahead, it added. <\/p>\n
India-focussed offshore funds witnessed higher net inflows than India-focussed offshore ETFs during the quarter. <\/p>\n
Of the total quarterly net inflow of $2.6 billion, India-focussed offshore funds registered net inflow of about $2.1 billion, whereas India-focussed offshore ETFs witnessed net inflows of $467 million, it added. <\/p>\n
Nomura India Equity, a Japan-domiciled fund, continued to attract investors as it received net assets worth $790 million through the quarter, significantly higher than the $257 million it had received in the previous quarter. However, iShares MSCI India retained its top spot as the largest India-focussed offshore fund and ETF in Q1. Robust inflows helped the funds asset size to grow to $55.2 billion from $50.1 billion in Q1. <\/p>\n
(This article was published on August 16, 2017) <\/p>\n
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India-focussed offshore equity funds continue to entice investors - Hindu Business Line<\/a><\/p>\n","protected":false},"excerpt":{"rendered":" Chennai, August 16: India-focussed offshore funds and ETFs witnessed healthy inflows in the April-June quarter, according to a Morningstar study. Continue reading