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Stephen Weiss, Founder, Short Hills Capital Partners iShares India Nifty 50 ETF INDY-Q BUY Aug 28, 2024

Apple will not go back to China for capacity, so growth will continue in India.

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COMMENT
India Nifty 50 ETF. 25% banks, 25% telecoms. In US$ so would prefer a Cdn such as BMO India Equity Hedged to CAD ETF (ZID-T)A lot of political uncertainty in India and inflation was running very high, of which 20% was food related. That has mitigated a little. India is still growing at about 8% and inflation is around 8%. Not too much near term but buying now, in 3 years you’ll be in one of the best growth markets.
COMMENT

An Indian ETF for the long-term? He is looking at ETF’s that have a lot of liquidity and low costs. If you want the large cap players, you might look at this which has an MER of .94%, and is the 50 largest companies in India. Or you could use IShares MSCI India (INDA-US), which simply tracks the index of Indian stocks. It has an MER of only .68%. If you want exposure to India, this is probably the easiest way.

COMMENT

An ETF for India? He would look at this one which will give you the Nifty 50 index in India. Prefers playing emerging markets through individual names or on a broader based ETF such as VWO-N, a Vanguard FTSE emerging market, which will cover all the bases including India and China.

BUY

There aren't many ways to play India, but he likes it. There's more room to run and keep rising.

BUY

Declining interest rates are good for emerging market economies, plus the supply chain is moving there.

DON'T BUY

INDA is a bit more diversified with 70-90 stocks, instead of just the top 50 of INDY. The MERs are fairly pricey around 90 bps or so. The MER for EPI is somewhat smaller, around 30 bps lower.

He's not that familiar with that market or the companies in those ETFs. Modi has made changes there, mainly to the good. But ethnic divisiveness is a serious issue. He's not investing there for his clients at this point.