Advise investors to up their bets on India despite the correction: Jim Walker, Asianomics Group

ET Now caught up with Jim Walker, Founder & Chief Economist, Asianomics Group, for his outlook for the Indian equity markets in the light of the latest corrections. Excerpts:

ET Now: The Indian markets — which you and a lot of fund managers globally are extremely bullish on — have just had a massive correction in the last few days. Is this part of a global risk-aversion or year-end profit-booking correction, or is there more to it?

Jim Walker: It could actually be both. It is a good excuse to take some money off the table, given how well the Indian markets have done over the course of the last 12 months. Also, the moment people look around and see problems arising in emerging markets, they feel inclined to take some of the profits.

The best countries or the best markets tend to get hit the hardest under such circumstances. So, I would not be surprised at all if these two factors combine to take the markets down.

But according to me, it would still be a great opportunity to get back into India for anybody who has not managed to get in until now.