Why Asia's richest banker Uday Kotak is not happy with 'investors from Lucknow to Coimbatore' putting money in stocks
high stock valuations in India questioned whether retail investors should keep on buying as they are funnelling money into equities daily, contributing to domestic institutional flows.
Trump-Modi Meet
The mega MIGA, MAGA plans of India's Modi and US' Trump
Trump says India has more tariffs than others
Trump's 'golden rule' for imposing reciprocal tariffs
«Should we continue encouraging retail investors to keep buying? Retail investors in India are funnelling money into equities daily, contributing to domestic institutional flows. Money from individuals from Lucknow to Coimbatore is flowing to Boston and Tokyo,» he said, noting that foreign companies were taking advantage of high valuations to book profits and repatriate funds.
«The US dollar is acting like a vacuum pump, sucking capital out of emerging markets,» Kotak said. Indian stock valuations remain significantly higher than those in most other global markets.
A greater participation of mutual funds, insurance firms and retail investors in the Indian stock market has made India one of the top five markets globally despite waning ownership of foreigners. Inflows into recurring plans offered by mutual funds emerged as key support for the market.
The sustained weakness in Indian equities will test their resilience over the next few months, reported Bloomberg quoting to analysts at Citigroup Inc.
Artificial Intelligence(AI)
Java Programming with ChatGPT: Learn using Generative AI
By — Metla Sudha Sekhar, IT Specialist and Developer
Artificial Intelligence(AI)
Basic
