This fund aims to achieve long-term capital growth. The fund will comprise investments in a diversified portfolio of companies of the Indian subcontinent including India, Pakistan,Sri Lanka and Bangladesh.
The Indian market underperformed global equity markets and other emerging markets as risk appetite collapsed. While the Indian economy is less exposed than many to global trends, it is not immune and industrial production has already slowed significantly. Performance was helped by Kirloskar which recovered from an oversold position. On the negative side, textiles and plastics group Sintex Industries came under pressure due to its high valuation.We added to some of our favourite oversold infrastructure companies such as cement stocks. We sold Kotak Mahindra Bank on valuation concerns and Bharat Heavy Electricals due to worries about weak barriers to entry in a slowing economy.Although India's economy is a beneficiary of falling oil prices, inflation is high and the rupee remains vulnerable given the country's lack of fiscal discipline. The long-term investment case for India is compelling and many good quality companies are now trading at attractive valuation levels following market weakness.
843.36p
