Global Investment House (Global) is pleased to announce that the Mayur Hedge Fund, a long short absolute return growth oriented fund with a net long bias, has reported 49% return for the first six months ending on 30th of June 2014 becoming the second best performing hedge fund for the Indian Market as reported by EurekaHedge.
The Mayur Hedge Fund is an India-focused product managed directly by Global which aims to achieve capital appreciation through investing predominantly in equity and fixed income related instruments of Indian companies.
Rajesh George, VP International Asset Management at Global, stated, “The Asian, and in particular the Indian market offers a compelling investment opportunity. The investment case for India is powerful; the country – which is home to a quarter of the world’s population under the age of 25 has a positive demographic profile, an emerging middle class, good corporate governance and an economy that has a low reliance on foreign trade. The reforms expected to be implemented by the new Indian government is expected to boost the Indian GDP growth and also to create a very favorable environment for foreign investors.”
India which is part of the BRIC (Brazil, Russia, India, and China) conglomerate is already the third largest economy in the world in terms of purchasing power parity and is projected to be approximately 30% of the size of the US economy by 2025. The growth dynamic in India is based on domestic consumption, services, high levels of investment and infrastructure spending.
India is now experiencing the positive impact of a ‘baby boomer’ generation comprised of people born in the 1980s supporting a much smaller proportion of older workers. This favorable demographic profile called the ‘demographic dividend’ is having a positive impact upon the Indian economy. In fact, India has one of the highest proportions of economically active citizens in the world and a population size of more than 1.2 billion people, 65% of whom are below 35 years of age.
The highly educated and skilled middle class in India is growing, earning more, spending more, saving more and setting the stage for a long term consumer-driven boom. Furthermore, there is a huge amount of wealth being created by entrepreneurs, many of whom control some of India’s biggest companies. The Indian economy has been through a fundamental shift over the past 30 years, moving from an agriculturally-based economy to one in which services account for more than 50% of the GDP.
Mr. George concluded, “The Indian economy is normally negatively correlated to Oil prices. Hence the Mayur Hedge Fund is considered an excellent investment product providing investors a hedge against any downward trend in Oil prices while capitalizing on the very strong internal and external growth narrative set to drive the Indian economy for the foreseeable future.”
It is worth noting that the fund employs a bottom-up and fundamental approach. It invests in equities of well-managed, high quality companies that have the potential to grow at a robust rate.
For further information:
Senior Vice President
Head of Marketing & Communications
Global Investment House
Tel: +965 2295 1615
Fax: +965 2295 1638
E-mail: [email protected]