India is the most liked market in emerging markets, Korea least liked – Citi.
India’s consensus overweight is key risk medium term – fund managers.
Long India vs underweight Korea gap is widest since 1995, Citi says.
No market has ever been as overweighted as India’s – Citi.
Korea is now actually asset lighter and generates more free cash flow than India but lags when it comes to ROE and dividends.
Says Korea is value to the same extent that India is quality.
If global economy continues to heal, the need to pay high multiples for quality attributes lessens and the tendency will be for there to be a swing towards value – Citi.