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Indian stock market has been rising for eight consecutive years, HSBC Asset Management launches India Diversified Income Fund.
HSBC Investment Management's Multi-Asset Director and Fund Manager Jing Hua said that thanks to ongoing reforms and structural changes, the earnings and growth prospects of the Indian stock market are promising.
HSBC Investment Management announced the launch of the HSBC India Multi-Income Fund, which aims to provide investors with opportunities to enter the Indian market to capture income and moderate capital appreciation potential. Data shows that as of the end of 2023, the Indian stock market has seen an unprecedented eight-year consecutive rise, with the SENSEX30 index up 18.74% and Nifty50 up 19.42% in 2023. In terms of market capitalization, the Indian stock market surpassed the $4 trillion mark as of December 6, more than doubling in value since the low point in March 2020. It is reported that the fund strategically invests in Indian bonds, including government bonds, investment-grade bonds, and high-yield corporate bonds, to generate income potential. In addition, the fund will also invest in a variety of Indian stocks, including large, medium, and small-cap stocks, accessing emerging opportunities that foreign investors often find difficult to capture. Jing Hua, Chief Investment Officer of Multi-Asset at HSBC Investment Management and the fund manager, stated that with ongoing reforms and structural changes, India's stock market has promising earnings and growth prospects. With Indian government bonds included in JPMorgan's emerging market index, it is estimated that there will be strong inflows of foreign capital into the local market. The HSBC India Multi-Asset Fund combines the advantages of local stocks and bonds, providing investors with unique opportunities to participate in India's thriving economy and market through careful allocation and flexible use of various investment tools, including direct investments (such as bonds and stocks) and indirect investments (such as mutual funds, ETFs, and Real Estate Investment Trusts). Li Shiyao, Head of Distribution for HSBC Investment Management's Asia business, stated that the group manages assets in India close to $15 billion. At the same time, the group is one of the few global asset management companies with Indian investment teams in Mumbai, Singapore, and Hong Kong, capable of navigating the diverse local market conditions and uncovering Indian opportunities for global investors.
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