MISSISSAUGA, ON, May 16, 2014 /CNW/ - Excel Funds Management Inc. ("Excel Funds"), the manager of the largest and longest-running India mutual fund in Canada is optimistic that India's equity markets will gain renewed momentum in the wake of the election of its new, pro-business government, led by Prime Minister, Narendra Modi of the Bharatiya Janata Party (BJP). This will benefit investors in the Excel India Fund, the most successful India fund in Canada.
Largest victory for any single party in India
Modi's victory, the biggest for any single Indian party in 30 years, is expected to put an end to policy paralysis in the world's largest democracy, which has inhibited the country from achieving its true economic potential. "The Indian population recognizes that India has the hallmarks of becoming a true economic powerhouse and has given Modi the mandate to institute the necessary reforms to accelerate the country's growth," says Bhim D. Asdhir, President and CEO of Excel Funds. "This is great for India and good for the world to have a huge economy with double-digit growth rates." he adds.
Confident investors exuberant over Modi's victory
Widely favoured by the business community, Modi is expected to implement policies that will improve India's macroeconomic framework, including a lower current account deficit, stable interest rates, and a stronger currency. It is also anticipated that he will bring greater stability to India in an environment of increased transparency.
In anticipation of his victory, foreign investors, led by smart, sophisticated money, have already commenced investing money into India, setting the stage for strong gains in the equity markets. "This is the beginning of the biggest bull market India has ever experienced, says Asdhir. "The key investment sectors expected to benefit immediately include infrastructure, banking, manufacturing, tourism, and agriculture, translating into an increasing number of jobs for India's relatively young labour force."
Unparalleled gains in Excel India Fund
Currently, the undervalued Indian equity market is among the best performing in the world, with significant scope to head higher. Comparatively, the Excel India Fund has significantly outperformed both the Bombay Stock Exchange (BSE) Sensex Index and the S&P 500 Index since its inception on April 14, 1998, primarily due to the on-the-ground expertise of its manager. As the chart below shows, the value of a $10,000 investment in the Excel India Fund made at its inception would be worth $44,980 on April 30, 2014, compared to $36,747 for the BSE Sensex Index and $17,324 for the S&P 500 Index. "We expect investors to make even greater gains as the Indian economy and its market take-off," says Asdhir. "India's upside potential far exceeds its downside potential," he adds.
About Excel Funds
Established in 1998, Excel Funds is a pioneer in investing in emerging markets in Canada, offering the widest selection of emerging markets funds to Canadian investors. Through its network of sub-advisors, Excel has access to over 200 local portfolio managers and analysts around the world. Excel's on-the ground sub-advisors, proprietary asset allocation model and best-in-class portfolio managers contribute to the firm being recognized as "The Authority in Emerging Markets" in Canada.
The Excel India Fund, the largest and longest running India fund in Canada, is managed in India by Birla Sun Life AMC Ltd., one of the largest and most respected asset managers in India.
Certain statements in this press release may be viewed as forward-looking statements. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, intentions, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as "expects", "is expected", "anticipates", "plans", "estimates" or "intends" (or negative or grammatical variations thereof), or stating that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved) are not statements of historical fact and may be forward-looking statements. Forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements including as a result of changes in the general economic and political environment, changes in applicable legislation, and the performance of the mutual fund after completion of the merger. Actual events or results may differ materially from such forward-looking statements as a result of risks facing the mutual fund, most of which are beyond the control of the mutual fund. There are no assurances that the mutual fund can fulfill such forward-looking statements and the mutual fund does not undertake any obligation to update such statements.
Image with caption: "India's poised to experience biggest bull market ever (CNW Group/Excel Funds Management Inc.)". Image available at: http://photos.newswire.ca/images/download/20140516_C8899_PHOTO_EN_40456.jpg
SOURCE: Excel Funds Management Inc.
For further information:
Media Contact: Kristina Tomasovic, tel 905-813-7111, e-mail: [email protected]
Excel Funds Management Inc. CEO and President: Bhim D. Asdhir, tel 905-624-7700, cell 416-716-1242
e-mail: [email protected]