Mumbai: Navneet Munot, CIO of SBI Mutual Fund, believes that allowing FIIs to invest in mutual fund schemes is a liberalising move. His views on the impact of the budget
Impact on markets
Though no major surprise, budget should be taken positively by both equity and the bond markets. As the event is behind us, the market would now focus on cues from global markets and incremental economic data and corporate earnings,”
Sector implications
Measures on the taxation and spending in key programmes would keep the consumption story intact while some visible moves have been made to push infrastructure build up. The budget can be termed as growth oriented and has taken incremental measures to boost investment into housing, infrastructure and social sector.
On allowing foreign investors to invest in mutual funds
The quantum increase in the limit for FII investment in infrastructure bonds and allowing foreign investors to invest in domestic mutual funds are bold moves towards liberalising the capital account.
