Monsoon Capital to launch mid-cap fund in India

Mumbai, Nov 29 | Updated: Nov 30 2004, 05:34am hrs
Its not just the Indian investors who are gung-ho about mid-caps. If Indian market statistics is not proof enough, heres the news. Monsoon Capital, a Boston-based private equity firm, is set to launch an India-dedicated fund focusing on 600 mid-cap stocks from December 1.

Sharing his experiences about the launch of an Indian equities fund from abroad, at the Funds World India 2004, Gautam Prakash, founder and managing director of Monsoon Capital, spoke extensively about the increasing attraction of India as an investment decision.

Regulatory complications notwithstanding, Mr Prakash feels that there is immense potential in the Indian markets. It is little wonder then that second generation Indians, based abroad, are showing more and more interest in the Indian capital markets.

Examining Indias changing role in the global market place, Dhruba Gupta, managing director, EM Capital, India, said, Foreign investors will need to be encouraged to create India-specific funds to deal in distressed assets singly and purchase of security receipts. There is a dearth of domestic capital for this purpose and foreign capital is in plenty.

EM Capital like many others await such enhanced opportunities to bring valuable capital to marshal forces for rapid growth in distressed assets, in private equity fund, and to smoothen the much-needed flow of resources to the SME sectors, Mr Gupta said.

The Funds World examined the role of pension reforms in Indian markets. An eminent panel consisting of S Krishanmurthy, CEO, SBI Life Insurance, Sandeep Batra, CFO, ICICI Prudential Life Insuarnce Company, P Nandgopal, Senior VP, Alternate Channels and Group Life, Birla Sun Life Insuarnce and Suraj Kaeley, Metlife Insurance, discussed how pension fund managers can attract the growing amount of investment capital on offer by dometic institutional market.