Mark Astley
Chief Executive Officer
Millennium Global Investments
Today there are a myriad reasons for Mark Astley, chief executive officer, Millennium Global Investments, to call on India. And these just don?t begin and end on droning on about global macro-analysis and macro-trading ? the subject areas he otherwise specialises in. The fund manager from the United Kingdom, who has spent 15 years undertaking research and managing portfolios in debt, equity and foreign exchange markets in mature markets like New York, Hong Kong and London, besides managing the Japanese equity portion of global balanced pension fund portfolios at his prior job assignments, is in India in connection with his business and also to pursue his other interests.
Astley?s maiden trip to India, beyond the usual stock-taking of his Indian venture, is to pursue his keen interest in the philosophy of Buddhism. He has just read The End of Suffering by Pankaj Mishra, and is more than just enthralled. ?It was an interesting treatise incorporating a combination of Indian travel writing, Buddhism, philosophy, and a brief perspective on Indian history,? says the avid reader and observer.
Astley?s company, Millennium Global, is a global currency and alternatives investments company, which since its creation in 1994, has been working on active currency management for institutional clients using a fundamental discretionary approach. The alternative investment management company, with assets worth $14.1 billion (as of April 1, 2008) from a wide global institutional client base, aims to bring best global practices and innovations to India.
A strong believer of India?s long-term structural business potential, for Astley, a high potential growth rate driven by strong demographic factors and high capital and labour productivity are ingredients of India?s successful economical recipe. The facts also assure him fruitful returns on every penny he puts in here. Quizzed about his observations on business in India, he has more to say than one can take down. ?India benefited strongly from the surge in foreign capital inflows in 2004-07, fuelling fast monetary expansion and a rise in domestic investment and strong global demand. However, in 2008, India is facing slower growth, rising inflation and a widening current account deficit,? he shares, going on, ?As India is a heavy oil importer, the trade deficit has widened sharply, and with FDI not strong enough to cover the deficit, this has left the rupee vulnerable to investor sentiment, in particular as past foreign equity inflows reversed and credit dried up.?
A small byte on his otherwise vivid readings on India, Astley knows the country beyond its dependency on oil and currency fluctuations. The readings have also helped him understand what he must pursue in India. The Indian venture of Millennium Global, Millennium Spire Ltd ? a closed-end foreign investment fund ? focuses on real estate and infrastructure. According to him, the long-term potential in the Indian real estate market is substantial, given the underdevelopment of the industry and the current housing stock relative to the long-term demand requirements of a rapidly growing middle class and the heightening need for higher quality residential and commercial space. ?While we believe in the prospects that significant business opportunities exist in India, we would like to see greater transparency and clarity in both the regulatory framework and business practices across the board, in order to improve the business environment in India,? he demands.
Astley is hopeful the country will soon sorts out these challenges. “Then we would have some new challenges to point out in our next meeting,” he says, fingers crossed.