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Why do fiis invest in india?

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Thinker
267 Points Posted on 12 February 2016
Hi, Why do FIIs invest in India? I understand that there is a big difference in US and India's Interest rate. So FII borrow from US with cheap interest and invest in the stock market in India. But why don't they just borrow from US and invest in US itself? After all it is the biggest economy?...
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On 12 February 2016 at 01:24 Report
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Management Consultant
1026 Points Posted on 12 February 2016

It is due to the advantage of higher inflation rate in India......

Actually it was very good topic to discuss if you have availability of CA final books......

Please go through SFM - paper -2 - IFM - Chapter - 1 

You will understand the concept....

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On 12 February 2016 at 12:07


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