India has one of the fastest growing economies in the world and India Capital Growth (IGC), the only London listed fund with a portfolio of predominantly small and mid-cap Indian companies, is positioned to benefit from that growth. The investment adviser likens the fund to a “compounding machine”. He aims to find reasonably valued but growing, cash-generative companies that reinvest their cash flow and hold them until their rating is no longer justified by their growth prospects.
After a long period in the doldrums, India’s market took off after the BJP were elected in May 2014. In recent months though, India’s market has sold-off along with other emerging markets. The adviser believes now might be a good time to add to exposure.
Investment objective: To provide long term capital appreciation by investing (directly or indirectly) in companies based in India. The investment policy permits the company to make investments in a range of Indian equity securities and Indian equity linked securities. The company's investments will predominantly be in listed mid and small cap Indian companies.