Capturing India's Next Phase of Growth Through Emerging Small-cap Businesses

Helios Small Cap Fund (An open-ended equity scheme predominantly investing in small-cap stocks)

- Mr Dinshaw Irani, CEO MD, Helios India, said:

Helios Fund House View

“The equity markets have been resilient in absorbing negative news flows and incessant FPI selling due to the solid domestic flows. We believe that the worst of the new flows is over, and one can look forward to positive news flows from here on. Thus, we expect the equity markets to react positively going forward and expect the FPIs to start trickling back in. India's macro backdrop stands out in the EM universe, supported by GDP growth, benign inflation and a prudent fiscal-monetary stance. The combined efforts of the government and the RBI have helped in improving the consumer sentiment by increasing liquidity, reducing interest rates, increasing savings and reducing prices.

Equity valuations have moderated while earnings revisions are stabilising, making India's entry point more attractive for global allocators.