1. Conditions conducive for financial savings

Conditions conducive for financial savings

With positive real interest rates likely to continue and crude prices remaining low...

Updated: January 23, 2015 1:37 AM

With positive real interest rates likely to continue and crude prices remaining low, households will shift away from physical assets, such as gold and real estate, to financial assets. The share of financial savings in the country touched a multi-decade low in FY13 and should now begin to inch up. That will support further inflows into equity mutual funds, which have seen a turnaround in the last seven months.

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