Heard on the street
By ET Bureau |
Negotiating the India gate
For foreign investors, the road to investing in India is paved with thorns. Or at least that���s what one would assume given the experience of Baer Capital Partners, the most recent entity to hit a roadblock here.
According to market sources, this Dubai-based private equity investment management firm is said to be running pillar to post to get SEBI approvals for launching a $250-million India-dedicated hedge fund. Sources say, the regulator is having ���some policy��� problems in approving a fund based out of Dubai.
Baer Capital in turn is also said to be finding it difficult to explain the product to the market regulator. However, when contacted, Baer Capital���s founder president Alok Sama, refuted the talk as market speculation. ���It just took a bit more time than usual, but that���s understandable.
From what we know, this is just a policy delay and it has nothing to do with SEBI. The officials at the regulator���s office were very accommodating. We expect to receive approval soon and hope to launch the fund in July,��� Mr Sama told ET from his London office. The Baer fund will be investing in public companies and will be a long-biased hedge fund with a focus on mid-cap stocks across sectors.
FIIs going radio active?
ADVERTISEMENT
Yet another conspiracy theory was heard doing the rounds on Tuesday. This one was about foreign institutional investors and their activity in the futures segment. That FIIs have been going short on the Nifty due to various global and domestic reasons is well known.However, a large section of the market players added a new twist to the whole tale. According to the market buzz, many US-based FIIs have been going short on Nifty futures in a ���planned attempt��� to put pressure on the Indian government to sign the nuclear deal.
Market ���experts��� were heard saying that the market would rebound the day the government ���bows��� to US ���pressure��� and signs the deal. The June series Nifty Future is trading at a discount of nearly 20 points to the spot. Similarly, the July and August series is trading at a discount of 50.85 points and 51.80 points, respectively.
(Contributed by Shailesh Menon & Ashish Rukhaiyar)
ADVERTISEMENT
ADVERTISEMENT
Too busy to trade in stocks? Invest in Mutual Funds with ET Money!
Bookmark or read stories offline -
Download ET Markets APP
Download ET Markets APP
ADVERTISEMENT
