Morgan Stanley: India’s Sensex Can Reach 34,000 In One Year

The Indian equity market is one of the best performing markets so far this year. The benchmark S&P BSE Sensex is up by over 17% year-to-date. Despite the strong gains, Morgan Stanley’s Jonathan Garner, the chief Asia and emerging markets equity strategist predicts the index may reach 34,000 by June, 2018 according to an article in …

Continue reading ‘Morgan Stanley: India’s Sensex Can Reach 34,000 In One Year’ »

How Diversified is India’s Sensex Index?

The S&P BSE SENSEX, the benchmark index of the Indian equity market is diversified but concentrated in a few sectors. The following chart shows the sector composition of the index: Click to enlarge Source:Sector Diversification through Index Linked Products, Indexology Blog The 30 constituents in the Sensex are from ten sectors as shown above. As …

Continue reading ‘How Diversified is India’s Sensex Index?’ »

Indian Stock Market Is Expensive Based On Valuation

The Indian equity market is one of the top performing emerging markets so far this year. The benchmark S&P BSE Sensex crossed the 30,000 mark for the first time in many months. The index closed yesterday at 29575 for a gain of over 11% this year. Though Indian stocks have the potential for further growth, on a …

Continue reading ‘Indian Stock Market Is Expensive Based On Valuation’ »

Real GDP Growth Rate: India vs. Emerging Markets

India is one of the major economies among the emerging countries. Recently the Indian government announced that the economy grew at  7 % in the quarter when a demonitization program was launched to unearth untaxed and illegal money held by wealthy Indians.This figure has surprised many economists and investors. From a Bloomberg article Mihir Sharma: Being the …

Continue reading ‘Real GDP Growth Rate: India vs. Emerging Markets’ »

Four Flaws Of India’s Sensex Index

The benchmark index of the Indian equity market is the BSE Sensex Index. Though the Sensex is main index for Indian equities it is not the ideal index for many reasons. For example, emerging market investors such as those investing in Indian stocks invest to gain from the growth in the Indian economy.However investing in an …

Continue reading ‘Four Flaws Of India’s Sensex Index’ »

The Structure of the Tata Group of India

The economies of many emerging and frontier markets are dominated by a small group of companies owned by powerful families. Next to state-owned enterprises these companies usually conglomerates are the major employees in a country. Majority ownership of companies by families has both advantages and disadvantages which I will discuss in a future post. Family-owned …

Continue reading ‘The Structure of the Tata Group of India’ »