Fund managers label India as least-favoured Asian market in BofA poll

In a recent Bank of America questionnaire, 98 fund managers overseeing $272 billion in assets indicated that India has become the least-favoured Asian stock market, replacing Indonesia. Thirty-two percent of those surveyed are net underweight on Indian shares, pointing to worries about insufficient artificial-intelligence exposure, sluggish economic growth, elevated valuations and a perceived shortage of reforms. Investor sentiment toward Indonesia improved, with the share of managers holding an underweight stance dropping to 27% from 32% in the prior month.

Taiwan and Japan continued to be viewed as the most attractive markets in the region. Despite a recent rise in earnings for NSE Nifty 50 constituents, Indian equities have slipped over the past two weeks, reflecting lingering caution among global investors.