The SENSEX is the primary benchmark index of the Bombay Stock Exchange (BSE), one of India’s two principal exchanges.
It is putting it mildly to say the ETF space is getting more robust every day. The most recent iShares Exchange Traded Funds Performance Report is 20 pages long and contains I don’t know how many ETFs.
The headline performance numbers out of India have been terrible, but traders in India ETFs hoping to find shelter under the large-cap names are not exactly feeling great about their choice.
U.S. investors often stereotype the Indian economy as a cluster of gigantic technology outsourcing companies. But those who bought into the ETFs that most closely conform to that stereotype would have been left lagging not only the real Indian stock market but Wall Street as well.
A dirty secret of many ‘global’ funds is that they’re really the MSCI EAFE with some lip service paid to China, India and other markets that are generating the lion’s share of the world’s economic growth. Can you build a better portfolio on your own?
The heaviest weighted stock in India has plunged nearly 16% since its earnings spooked global traders on Friday. Despite the carnage, reaction from analysts and ETF investors has been muted — revealing that the selling may have gone more than a little too far.
Analysts at Kotak Institutional Equities expect a “solid quarter for incumbents” in the Indian cellular space driven by the return of volume momentum and a modest uptick in revenue per minute.
The Chinese New Year starts this week with the year of the Water Dragon. This will limit the amount of market-moving releases from the country this week and spawn a myriad of Feng Shui inspired stories about making money after a jittery year of the rabbit.
The travails of many Indian companies and the nation have been detailed in many articles on www.emergingmoney.com, so it should be no surprise that ETFs like iShares S&P India Nifty Fifty (INDY, quote), Powershare India (PIN, quote) and WisdomTree India Earnings (EPI, quote) are all lower for the past 52 weeks.