Investment Services

Introduction

India has emerged as a major investment destination for domestic as well as international investors. The country is expected to be the largest source of emerging market multinational enterprises (MNEs) by 2024.

India is the fifth best country in the world for dynamic growing businesses, according to the Grant Thornton Global Dynamism Index. Indian companies are gaining better competence by expanding their international presence by investing overseas for acquiring regional and global reach.

The country continues to urbanise at a strong pace driven by a combination of uptrending consumption, robust job creation and growing financial penetration, according to Morgan Stanley's proprietary AlphaWise City Vibrancy Index.

The various investment options available in India include Bank Fixed Deposits (FD), Securities, Mutual Funds, National Saving Certificate (NSC), Gold, Real estate, Information Technology (IT), Pharmaceuticals, etc.

Road Ahead

  • It is expected to become the fifth largest banking sector in the world by 2020 and the third largest by 2025, according to a joint report by KPMG–CII.
  • The report expects bank credit to grow at a compound annual growth rate (CAGR) of 17 per cent in the medium term leading to better credit penetration.
  • The insurance sector also has bright times ahead. Life Insurance Council, the industry body of life insurers in India, has estimated a CAGR of 12–15 per cent over the next few years for the segment, with the country’s insurable population projected to touch 750 million by FY 2020.
  • Exchange Rate Used: INR 1 = US$ 0.01676 as on April 2, 2014.