"I have been relatively positive about India for the last 12 to 18 months. I have applauded the Reserve Bank of India for keeping interest rates relatively high and stabilizing the currency. Since then the Indian market has significantly outperformed other markets.
It is the second best performing market in Asia after South Korea which is surprising because South Korea has the potential of getting involved in a war but nevertheless it has been the best performing market in US dollar terms.
In the Indian market, if you look at the composition of the index, the leading stocks are relatively expensive with frequently over 50 times earnings and so I am not that keen on the index anymore, but within the market. there are still some sectors that are relatively attractive and I still maintain what I have been saying for the last one and a half years that India would outperform the US over the next five to 10 years."
via http://economictimes.indiatimes.com
