Fragile-Five Days Long Gone as Funds Pile Into India, Indonesia
- Investors stay positive even as elections pose potential risks
- ‘A lot of low-hanging fruit remains,’ Robeco’s McNicholas says
Stores lining Mahatma Gandhi Main Road in Ranchi, Jharkand, India.
Photographer: Arko Datto/BloombergThis article is for subscribers only.
India and Indonesia were once famously lumped together as part of Morgan Stanley’s “Fragile Five.” A decade later they are investor favorites.
The outlook for the bonds and currencies of the two Asian behemoths has brightened following successful programs of reforms and fiscal restraint, according to fund managers including Fidelity International, Robeco Group and abrdn. Even elections in the two countries this year are unlikely to spook investors.