Whalesbook
Amundi, Europe's largest asset manager, anticipates foreign investors will resume buying Indian stocks, ending significant outflows seen in 2025. Despite $16.4 billion in foreign selling year-to-date, domestic buyers acquired $77 billion. Factors like soft nominal growth and high valuations previously deterred investors, causing India to lag emerging market peers. Amundi suggests conditions are now favourable for a rebound in foreign flows and recommends an increased allocation to Indian equities.