Kolkata Stocks：Indian Treasury bonds are included in the Morgan Chase index and the bond market's long -term layout

Morgan Stanley said that investors who tracked Morgan Chase's emerging market bond index have been prepared for India's joining. As of the end of May, their 3.6%of their assets have been allocated on India's sovereign debt.

MIN DAI, director of the Asian macro strategy, wrote in a report that most investors are active fund managers. They do not need to increase risk exposure because India will be included in the index on Friday.He said that more than half of the funds have increased the opening in India.Kolkata Stocks

Since it was announced in the index last September, India's bonds that meet the index conditions have attracted $ 10 billion in funds.Morgan Chase said that the incident may attract global funds from $ 2 billion to $ 25 billion into local debt.The country's weight in the index is 1%, and it will gradually rise to 10%within 10 months.

DAI wrote in a report on June 21 that if India maintains the stability of the rupee, keeps the hawks of the hawks, and the budget deficit is moderate, "investors may increase their holdings in bonds and currencies by 1%-2%."He said this means that investors still need to increase assets by 8%-9%in India in the next 10 months.

JPMorgan Chase estimates that in the next 12 months, the proportion of foreign investment in the Indian bond market will almost turn from the current 2.5%to more than 4.4%.In addition, investors increase their holdings of the Indian rupee, and the proportion of 2.9%of the holding is caused by pre -configuration before the index is included.

Indian bonds have become the darling of emerging markets, and investors are attracted by the country's stable fiscal conditions and stable currencies.Morgan Stanley said that the number of bonds in the country will be at the cost of Thailand, South Africa, Poland, the Republic of the Czech Republic, Brazil and Colombia.

DAI wrote: "Investors either need to sell bonds in these markets to provide funds for India's transactions, or they need to use any new funds to flow into Indian assetsSimla Stock. In the next 10 months, this may be the largest GBI-EM countries have negative effects. "

Finally, the report states that the addition of India will make Asia reaching 47.6%in the index, while the addition of the Philippines may make the region's weight more than 50%.

Morgan Stanley said that Morgan Chase proposed two possible measures in his latest consultation to re -balance the index.One suggestion is to limit the proportion of Asia to 40%, which will make Latin America a larger proportion.The report added that the second measure will reduce the weight of the major economies.

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