The MSCI India Index ETN is constituted of 62 of the firms traded on India’s National Stock Exchange NSE. The NSE is the equivalent of the NY Stock Exchange. The index dropped more than 51% of its value in the past couple of months. The hype that started in 2007 is out of the marketplace. Is currently undergoing a lot of pain.
Did you know India a lot more teenagers than anyplace in the world? About 115.3 million in total. That’s more than all the teenagers in Japan, Canada, UK, France, Germany, Italy and the USA combined. Because their purchasing power grows it goes without saying this group will become a major impact on the world markets. The Gross domestic product of India was growing and the Gross national product was blistering. In comparison to US Gross domestic product growth rate of 3.2%, India’s growing nearly 3 times faster. Determined by the information, India is ranked low. It’ll signal the expansion of the middle class Because these metrics grow.
The Indian government is committed to spending nearly $100 billion over that the next few years to develop needed infrastructure. Now for that the million-dollar question, how do we invest? You could purchase a mutual fund focused on India or emerging markets. The problem is you won’t really know exactly what the fund manager is buying. Looking only at ETFs I see two ways to invest in India. The iPath MSCI India Index ETN. This indicator tracks the returns of 62 companies listed on that the National Stock Exchange of India. This indicator is marketplace cap-weighted, meaning that the bigger that the company that the more that the fund owns of it.
WisdomTree India Earnings Fund is a real ETF. It holds 123 companies traded on that the National Stock Exchange of India. Materials and Software & Services make up the next 25%. This fund is a Good Way to gain from growth in India, and take benefit of the latest market correction. Brian Mikes is the publisher of that the Dynamic Wealth Report, a free newsletter investment that offers investment ideas and news you cannot get from the mainstream investment press.