Pathways deliver a deep dive into navigating the ideas and insights on new and rapidly growing India asset classes. In this Pathway we examine how India's loud, messy, chaotic democracy can overemphasise political risks for long-term investors.
By Arvind Chari, CIO
India's noisy democracy has long confounded investors. The world's largest election spectacle unfolds every five years with much fanfare. Campaign rallies overflow with colorful chaos. Results seemingly hand power to either pro-reform free marketeers or socialist state interventionists. The mood swings from optimism to anxiety overnight as ballots are counted.
Beneath the dramatic electoral spectacle lies an enduring continuity. Businesses have adapted to expect the unexpected from India's vibrant democracy. But informed investors have learned to see through the election drama and recognize India's steady incremental progress.
Governments come and go, but India's diverse economic ecosystem persists. The nation's growth trajectory depends not on the idols in New Delhi's corridors of power, but the billions of aspirations and actions of ordinary Indians that play out each day.
Crucially, what does this mean for investors and how should they look at India as a strategic allocation?
Explore how our two main strategies – India Value Equity and India Responsible Returns - are built on sound investment principles and follow a disciplined investing process.
Time is Running Out for Climate Action - July 2021
Time is Running Out for Climate Action - July 2021
The world is reaching the tipping point beyond which climate change may become irreversible. If this happens, we risk denying present and future generations the right to a healthy and sustainable planet – the whole of humanity stands to lose.” - Kofi Annan, Former Secretary-General of UN, December 2015
A SaveMyWorld Allocation – September 2021
A proverb from the Native American Cree tribe states bluntly: Only when the last tree has died And the last river been poisoned And the last fish been caught Will we realise we cannot eat money
The annual requirement of ~USD 2.5 trillion to meet the IPCC targets is less than 1% of the stock of global financial assets. If Every institution creates a 1% allocation from its existing stock into a ‘#SaveMyWorld’ bucket, the world can put up a combined co-ordinated fight towards mitigating climate change
India is Ground Zero for Climate Change - December 2020
On June 25, 1975 Prime Minister Indira Gandhi – without consulting her Cabinet colleagues in the then Congress government – sent a letter to the President of India recommending the suspension of individual rights and freedom. India remains a working experiment in democracy. The Emergency temporarily shut down the experiment. For those who were unaware about this dark phase of India’s history, it is a reminder of the continuous struggle to find the correct form of government that connects the people to its leaders and, yet, is given the time to deliver on its promise.
