India: Top Investment Destination for Global Funds

Bangalore: Faith in the global economy and equities is reviving and the Indian market has emerged as one of the favorite destinations for global investors. The positive investment sentiment for India has been growing since April 2012 as per a survey by Bank of America Merrill Lynch. This has been reflected in the robust performances by the benchmark stock indices which have risen more than 20 percent this year.

Foreign Institutional Investors (FIIs) poured in more than 19, 000 crore in to the India Stock market in the month of September and have invested more than 10, 000 crores already in the month of October on the back of government reforms. The report finds the Indian market continuing to attract global players over the next 12 months.

Thailand is also generating interest with 22 percent gains this year. China has lagged, garnering only half the allocations achieved last month. The outlook for Australia and New Zealand is not so bright either. Investors are concerned about the underplayed fiscal imbalance in the U.S. in global equities.