India Credit Seen Benefiting From Index-Related Bond Flows
- Mittal, co-founder of IndiaBonds.com, speaks in interview
- Foreign funds in India to shift down credit curve eventually
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The capital flowing into India as it joins global bond indexes will gradually trickle into company notes, according to one of the few women to run a firm in the country’s $2 trillion fixed-income market.
The spreads between government and corporate bonds is widening as the foreign funds snap up sovereign securities. Buying of company debt will start with state-run firms and then eventually shift toward those with lower credit ratings, Aditi Mittal, co-founder and director of IndiaBonds.com, said.