Insynergy Investment Management is considering launching a specialist themed India fund once consumers become more comfortable investing in the country.
The firm, which outsources mandates to asset managers with expertise in certain areas, already has one India offering. The £3m Insynergy absolute India fund launched in June 2010 and is run by Reliance Asset Management.
Insynergy managing director Spike Hughes says: “We might look at a specialist sector India fund with Reliance, but we need to wait until more investors catch on to India first. The big themes in India at the moment are agriculture and infrastructure.”
Hughes says the analytical tools on platforms discourage some advisers from investing in India. He says: “The models that advisers use on platforms, put together by actuaries, are backwards-looking, taking into account 50 years. Only five out of the last 50 years have been good for India, so it may take five to 10 years for India to take off.”
Equilibrium Asset Management investment manager Mike Deverell says: “India looks like a good place to invest as the economy seems to be growing fairly strongly and inflation seems under control.”