Favoured

• India has become the least-favoured market in the Asia-Pacific region among fund managers, ranking below China, Indonesia, and the Philippines. • The lack of an AI-driven investment play and weak growth projections are cited as the primary reasons for the current wariness. • In contrast, Taiwan and Japan are the top preferences with net overweight positions of 55% and 50%, followed by South Korea at 23%.

• A Bank of America survey of fund managers reveals that India has become the least-favoured stock market in Asia and one of the world's worst performers this year. • While Taiwan and Japan remain the most preferred markets, the share of managers underweight on Indonesian equities dropped from 32% in July to 27%. • This shift in investor sentiment coincides with a decline in Indian stocks over the last two weeks, occurring despite an improving outlook for corporate earnings.

• India has overtaken Indonesia as the least-preferred stock market in Asia according to a recent Bank of America survey of fund managers. • Approximately 32% of the surveyed respondents are currently net underweight on Indian equities, signaling a bearish sentiment. • Key drivers for this shift include high market valuations, weak economic growth, limited structural reforms, and a perceived lack of exposure to AI.