According to a report by Invesco, India is now considered the most attractive emerging market for investment, surpassing China. The study gathered the opinions of 85 sovereign wealth funds and 57 central banks, collectively representing $21 trillion in assets. India is increasingly seen in a positive light due to its improved business and political stability, favorable demographics, regulatory initiatives, and a welcoming environment for sovereign investors.
The report, titled ‘Invesco Global Sovereign Asset Management Study’, included input from 142 chief investment officers, heads of asset classes, and senior portfolio strategists from the aforementioned sovereign wealth funds and central banks. As investors adjust their portfolios amidst persistent high inflation and real interest rates, they have shown a preference for fixed income and private debt. Emerging markets with strong demographics, political stability, and proactive regulation, particularly India, have emerged as highly desirable investment destinations for sovereign wealth funds.
The report highlighted that India has captured the interest of sovereign investors within the emerging market landscape, surpassing China in attractiveness.
