π $25B FII comeback possible as global funds rethink strategy
HSBC suggests India could attract about $25 billion in foreign equity inflows through portfolio rebalancing. This potential shift involves global funds restoring allocations to neutral from their current underweight positions in India. Early signs show foreign investors bought $3.6 billion in Indian equities since mid-June. India's relative stability and improving domestic growth are key drivers for HSBC's positive outlook. The bank has upgraded India to neutral in its Asia strategy, favoring domestic demand plays.