India is a safe haven for investors amid global challenges: Mark Mobius

Mark Mobius on Indian markets: Veteran emerging market investor Mark Mobius has called India ‘a safe haven’ for investors in the face of current geopolitical challenges and a slowdown in global growth. Mobius, the founder of Mobius Capital Partners, highlighted India's stable government and young demographic, with an average age of 27 years, as key factors contributing to its status as a favourable investment destination.

He expressed his optimism about India, which now holds the second-largest position in the portfolio of Mobius Capital Partners after Taiwan. Mobius underlined that India is a land of opportunities and innovation, with the potential to benefit from businesses and manufacturing companies relocating from China.

Mobius believes that India's market will continue to rise despite global growth concerns. He expressed confidence that if the Bharatiya Janata Party (BJP) remains in power, the markets will see growth. He even predicted that India's benchmark index Sensex, currently hovering around 63,000 levels, could reach 100,000 in the next five years or even sooner.

Market corrections are opportunities

Regarding market corrections and downturns, Mobius sees them as opportunities rather than concerns. He views these fluctuations as chances to acquire undervalued assets and preserve cash for strategic investments.

Mobius also identified potential in investing in technology-focused companies, including those in the software sector. He specifically mentioned MapMyIndia as a technology-based company of interest.

India's transparency in its financial markets has not gone unnoticed. According to a recent Morningstar Global Investor Experience report, India has become one of the most transparent markets. 

The country provides investors with valuable insights, especially through monthly holdings data and mandatory disclosure of managers' deferred compensation. This transparency has attracted foreign institutional investors looking for alternatives to China, further enhancing India's appeal as an investment destination.

Mark Mobius's positive outlook on India as a safe haven for investors is grounded in the country's stable government, youthful population, and potential for growth, making it an attractive destination for those seeking opportunities in emerging markets.

(With PTI inputs)