Zaheer Lalani, Principal Advisor of Sovereign Advisors, and Max Riaz, Investment Manager, explore the firm\u2019s decision to exit Chinese equities in March 2023 and shift into India. The move was based on concerns that China was underperforming expectations and that geopolitical risks\u2014particularly the escalating US\u2013China rivalry and the precedent of Russian sanctions\u2014posed significant threats to investors. Unable to find a clean \u201cex-China\u201d emerging markets option, they partnered with a manager aligned to their views, which delivered strong early returns.<\/p>\n
India is seen as a long-term structural play rather than a temporary allocation. Its equity markets have delivered steady 10% annual growth, underpinned by a rising middle class, strong domestic consumption, education, and industrial capacity. Recent trade pressures have also pushed India to open further to foreign companies, potentially accelerating growth. While India remains the central emerging market theme, the firm remains open to re-entering China if there is genuine rapprochement with the US, as China\u2019s vast domestic savings could create outsized opportunities for financial institutions.<\/p>\n
\n\t\t\t\t Post Views: 6
\n\t\t\t<\/p>\n","protected":false},"excerpt":{"rendered":"Zaheer Lalani, Principal Advisor of Sovereign Advisors, and Max Riaz, Investment Manager, explore the firm\u2019s decision to exit…\n","protected":false},"author":2,"featured_media":82052,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[12],"tags":[64,63,99,171],"class_list":{"0":"post-82051","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-markets","8":"tag-au","9":"tag-australia","10":"tag-business","11":"tag-markets"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/82051","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=82051"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/82051\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/82052"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=82051"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=82051"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=82051"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}