According to Mark Mobius, India is currently “emerging as something very interesting”, thanks in part to technology and government policies.
“Right now, we’re focusing more and more on India,” Mobius, founding partner at Mobius Capital Partners, told CNBC.Squawk Box Asia“on Tuesday. The veteran investor has made a name for himself at Franklin Templeton and is seen as a pioneer in emerging markets.
“In many ways, I call it the ‘United States of India’ because these Indian states are so different. And that creates an incredible opportunity for growth,” he said.
“India is really emerging as something very exciting.”
Investors who want to seize this opportunity can access it through the Indian stock market, with a particular focus on technology, Mobius said.
“There are a number of world-class, Indian companies that are in the software business – as you know, Tata’s global, they are all over the world,” the investor said, relating the consortium to countless businesses from information technology consulting services arrive car.
He added that several other Indian companies that are already “very, very big” in the global software market are now entering the hardware sector as companies like the tech giant Apple realized the need to diversify their production base and move to the South Asian country. Mobius did not name any specific companies in this category.
India’s markets have seen huge gains over the past two years, with Nifty 50 and the BSE Sensex index are both up more than 20% each in 2021. However, like most of the global markets, both indexes are currently in negative territory so far this year as traders Investors scrambled for safety from fears of an impending recession as major central banks in the West tightened monetary policy to combat inflation.
Elsewhere in emerging markets, Mobius said he also likes Taiwan, home to companies like the chip powerhouse. TSMC. It’s a place he describes as having “all the best parts of Chinese culture”, an open society and “incredible creativity”.
“A lot of the chip-related software is made in Taiwan and that’s where we’re focusing,” Mobius said.
