The Indian General Election is coming up on May 23, 2019. Our base case is that Modi is returned as Prime Minister and the BJP gains a majority of seats, or at least retains power in a coalition with the National Democratic Alliance (NDA). This has been our base case... Show More
Ray Dalio, founder of the world’s largest hedge fund, Bridgewater Associates, believes India will record the fastest growth of any major economy for the next 10 years. In an interview, he stated that “We do a computerised study that forecasts what the fastest-growing economies will be based on certain key... Show More
Asia is the best structural growth story in the world driven by strong demographics, a rising middle class, infrastructure build and technological leapfrogging. We believe that the combination of high growth and reasonable prices offer a compelling opportunity. Show More
The performance of Shanghai Composite Index is lagging the US market by a massive 30% so far this year. Mary Manning says this divergence is extreme when compared to the ‘economic reality’ of the trade tariffs. She describes two scenarios both of which she believes would provide a positive catalyst... Show More
By 2030 India is going to be the 3rd largest economy in the world, yet very few investors have exposure to this powerful growth story. “The economy is growing very fast. There’s a lot of very high-quality companies and India is a market, particularly for Australian investors, where people don’t have... Show More
Emerging markets have been affected by a combination of factors, most obviously rising US interest rates and the subsequent appreciation of the US Dollar. However, what has not come out as clearly is the effect of rising commodity prices on economic growth. Show More
For those that missed the insights of Day 1 and 2, please click on the following links Grassroots India Tour – Day 1 and Grassroots India Tour – Day 2. For the final day of our India tour, we were back in Mumbai. The day kicked off with a tour... Show More
Pune is known for its manufacturing and automobile industries as well as its research institutes of Information Technology, Education and Management. Our thoughts on Day 2 was to take delegates to another city within India via the highway system. The Mumbai to Pune highway provides a comfortable route via coach.... Show More
India Avenue conducted its inaugural Grassroots Tour of India over 3 days from March 11th to the 14th. The tour included nine delegates from Australia and the Pacific with the purpose of exploring India as a long-term investment opportunity as well as myth-busting some antiquated stereotypes. We travelled to Mumbai... Show More
US based Global retail giant Walmart will buy a controlling stake of 77% in India’s largest e-commerce company Flipkart for US$16 billion, valuing the company at US$21 billion. This deal is the biggest in India’s e-commerce market and marks Walmart’s foray in the e-commerce space. Amazon and Walmart will now... Show More
The Asian listed property trust sector can’t be ignored. From inception in 2001, it is a sector worth around $260 billion today. With growth now twice that of the US market, and with India and China on the verge of entering the sector, this is an opportunity that will continue... Show More
Macquarie Bank has been betting big on the world’s fastest growing economy, India, through its various infrastructure funds and joint ventures. One example is their recent L1 (highest) bid of $1.94bn for nine road assets under the Toll-Operate-Transfer (TOT) model. This deal is one of the largest FDI in public... Show More
India’s Prime Minister, Narendra Modi, was sworn in as India’s new Prime Minister in 2014 to much hype as no party had won by such a margin in 30 years. This was also monumental given his opposition, Congress party’s “Gandhi” domination that has ruled India for 49 of the past... Show More
Successful thematic investing is not just about correctly identifying long term structural trends but also positioning yourself early to take advantage of them as they unfold. We have identified several positive structural changes occurring in India that make it a very attractive opportunity for thematic investors. This long-term opportunity drives... Show More
India produces around 3.8m passenger vehicles (PV) a year making them the 5th largest manufacturer in the world. Currently they are behind Japan and Germany who are number 3 and 4 respectively. By 2020, India could potentially overtake both of them. How? India is becoming a global hub for small... Show More
Chief Investment Officer, Wayne Peters, and Head of Research, Nathan Bell explain the investment case of listed holding company, Fairfax India. Fairfax India provides investors exposure to high quality private and public businesses in India. Fairfax's key assets include Bangalore International Airport, IIFL Holdings, NCML and Sanmar Chemicals. Show More
Imagine a company that’s grown its revenue at 36% p.a. over the last 22 years simply selling underwear. What if I told you that the company has averaged a valuation of 46x since its listing back in March 2007, would you still invest in the stock? The company we are... Show More
Moody's Investors Service ("Moody's") last week upgraded the Government of India's local and foreign currency issuer ratings to Baa2 from Baa3 and changed the outlook on the rating to stable from positive. Show More
Asia is the fastest growing region in the world, with average GDP growth of 2 to 3 times that of Australia and other developed countries. Despite compelling growth and valuations, it is difficult for Australian investors to access Asian markets directly. Ellerston Asian Investments (ASX:EAI) offers an easy and efficient... Show More
After eight years of falling interest rates and quantitative easing, most investors are wondering how long before the next great fall and when it will happen, mostly so they can dump their shares and avoid the pain suffered during the GFC. Show More