According to Mark Mobius, India is now “emerging into something very exciting,” thanks to technology and government policies.
“Right now, we’re focusing more on India,” Mobius, founding partner of Mobius Capital Partners, told CNBC’s “Squawk Box Asia” on Tuesday. The veteran investor has made a name for himself in Franklin Templeton and is seen as a leader in emerging markets.
“In many ways I call it the ‘United States of India’ because these Indian states are so different, from each other. And it’s creating an incredible growth opportunity,” he said.
“India is emerging as something very exciting indeed.”
Mobius said investors looking to take advantage of this opportunity can gain exposure through the Indian stock markets with a special focus on technology.
“There are many world-class, Indian companies that are in the software business — as you know, Tata’s global, they’re all over the world,” said the investor, referring to the myriad of businesses in Information Technology Consulting Services for Automobiles.
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He said many other Indian companies that are already “very, very big” in the global software market are now entering the hardware space as companies like tech giant Apple look to diversify their manufacturing base and move to the South Asian nation. Recognizes need. , Mobius did not name any specific company in this category.
India’s markets have seen huge gains in the last two years, with both the Nifty 50 and BSE Sensex indices rising over 20% in 2021 alone. Like most global markets, however, both indices are in negative territory so far this year as investors scramble for safety over fears of an impending recession as major central banks in the West tighten monetary policy to fight inflation.
Elsewhere in emerging markets, Mobius said it also prefers Taiwan, where companies like chip powerhouse TSMC are. It is a place that he describes as having “all the best parts of Chinese culture”, an open society and “incredible creativity”.
“A lot of the software that goes into the chips is made in Taiwan, and that’s where we’re focused,” Mobius said.