India still offers investors strong growth

Article Excerpt

The Indian economy continues to expand rapidly and increased consumption among a growing middle class is expected to support that growth over the medium term. The Indian stock market has also performed well over the past five years, easily beating the emerging markets index and keeping pace with the broad developed markets index. Among the top Indian companies are large businesses that operate internationally such as Infosys, HCL Technologies, Tata Group, and Bharti Airtel. Below we discuss an ETF that offers access to the top 50 Indian companies. ISHARES INDIA INDEX ETF $54.95 (Toronto symbol XID; TSINetwork ETF Rating: Aggressive; Market cap: $149.1 million) tracks the performance of the largest publicly listed Indian companies. The fund invests all its assets in the iShares India 50 ETF (Nasdaq York symbol INDY), which is a much larger fund. Financials account for 34% of the iShares India Index ETF’s assets, while Technology (13%), Energy (11%), Consumer Discretionary (10%), Consumer Staples (8%), Materials (6%), and Industrials (6%) are also key…