Once considered an emerging market (EM) darling, China is now facing ostracism from the EM basket due to a prolonged spell of poor returns, an uncertain economic outlook, and geopolitical hostilities.
The assets of a popular EM-focused exchange-traded fund (ETF) excluding China (ex-China), issued by BlackRock (iShares EM ex-China), have exceeded $11 billion this month, marking a twenty-two-fold increase from less than $500 million three years ago.
Market watchers note that an increasing number of passive investors, particularly from the US and Europe, are reallocating their investments to ETFs that exclude China.
India stands to gain the most from this trend, given its highest weighting in the EM ex-China index. Companies from Mainland China hold the highest weighting in the regular Morgan Stanley Capital International (MSCI) EM Index at 22.07 per cent.
This story is from the March 23, 2024 edition of Business Standard.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the March 23, 2024 edition of Business Standard.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.
Already a subscriber? Sign In
Byju's ‘Pulling Ahead' With Scalable Sales, Lower Prices
Cash-strapped educational technology (edtech) firm Byju's has reduced the prices of its products.
Restrictions On Bank Of Baroda's BOB World Lifted
The Reserve Bank of India (RBI) lifted the curbs on BoB World - the mobile application (app) of Bank of Baroda with immediate effect, the bank said in a notification to the exchanges.
Why Silent On Ambani, Adani? PM Jibe At Rahul
Cong labels BJP 'tempo of corruption', says Modi nervous after three phases of polls
Home-cooked veg thali 8% costlier in April
Pricier onion, tomato and potato increased the cost of a home-cooked vegetarian thali by 8 per cent in April to ₹27.4 compared to ₹25.4 in the same month last year, said a report on Wednesday.
Depending on rain gods not a solution for forest fires: SC
The Supreme Court on Wednesday said cloud seeding or \"depending on rain gods\" is not the answer to the raging forest fires in Uttarakhand and that authorities will have to take preventive measures to tackle the problem.
Google launches wallet app in India
Tech giant Google on Wednesday launched the Google Wallet app in India, enabling users to store and retrieve digital documents like boarding passes, loyalty cards, movie tickets, and more.
Tailor health insurance riders to your family's medical history
Understand exclusions in each rider to avoid surprises at the time of claim
It's time to 'stock' up for those with risk appetite
Poll jitters, rich valuations to blame for muted May for markets, say analysts
Mutual funds go on ₹900 crore gilt selling trip in May
The stance of Mutual Funds (MF) in the government bond market has shifted in May, with fund houses now engaging in a selling spree, offloading around 900 crore worth of bonds so far.
Demat additions in April built on best ever quarter
Over 3 million accounts added for fifth straight month
