Excel Funds Management Inc.

Emerging Markets

BSE Sensex up over 400PTS – Biggest Jump in 2012

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The Bombay Stock Exchange (BSE Sensex) rose more than 400 PTS overnight on government policy reforms aimed at taking India into a next phase of development. Finance Minister P. Chidambaram took further steps in reducing borrowing costs as well as cutting taxes on overseas borrowing leading to a surge by investors back into the equity markets. With elections coming in 2014, the ruling coalition made the economy its primary focus, and this week’s measures demonstrate this commitment while also making it an ideal time to invest in India.

The two largest benefactors of this announcement were the infrastructure and financial sectors as, easier access to overseas funding markets and the hope that foreign direct investment limits would be increased help bolster investor sentiment. Portfolio Managers quickly improved their outlook on the Indian economy leading to the reallocation of defensive holdings and cash into the market. The Excel India Fund’s top holdings led the charge with stocks such as ICICI Bank gaining 4.7%, State Bank of India up 4.6% and Larsen & Toubro up 4.2%. These strong companies, held within the Excel India Fund, are showing significant growth prospects as their P/E ratios are currently near their historic lows.

The message is clear; the time to invest is now! The combination of government reforms, measures taken by the ECB, an increase in infrastructure investment and historic low valuations make this an ideal time to capture India’s next phase of growth. The Excel India Fund is ideally positioned to capture this growth as it is proudly Canada’s largest and longest running India equity fund. The Fund’s unique, grandfathered tax structure, its best-in-class, on-the-ground portfolio manager, Birla Sunlife AMC boasts a 12.3% 10 year return and during that time has outperformed the TSX by 66% and the Sensex by 60%.

Source: BSE Sensex surges; govt seen resolute in reforms (http://www.moneycontrol.com/news/wire-news/bse-sensex-surges-govt-seen-resolutereforms_760351.html)

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Author: Excel Funds Management

We Are Leaders. Our Focus is Undivided. Excel Funds is Canada’s specialist in Emerging Market investment opportunities. We pioneered Emerging Market mutual fund design and distribution in Canada. Our focus is undivided – Emerging Markets is all we do. Our Mission Is To Offer Canadians True Global Access By offering Canadians access to rapid growth markets, Excel Funds provides truly global and diverse investment value. Our clients want consistent, responsible and intelligent solutions – we will never stop being challenged and deliver on client expectations. We Listen. We Are Determined To Deliver. Our clients want to understand better. Excel Funds is the only company dedicated to providing investors with actively managed, best-in-class Portfolio Managers based in regional markets. In order to deliver deeper understanding, we are not removed from unique cultural, political and economic experiences. We Initiate. We Create. Investors benefit from strong, sustainable growth. To create wealth for our clients we will: • Offer globally diverse opportunities to capture shifts in world economies • Not resist change and continually lead in Emerging Markets global growth • Engage world class institutional managers for retail investors We Are Passionate. We Will Never Stop Innovating. True leadership is enabling and seeks a positive outcome for all invested. We will not rest on past success, and continue to provide clients with: • Innovative fund structures • Canada’s largest & most comprehensive Emerging Markets products • The best institutional level Portfolio Managers • World class on-the-ground active managers • A singular focus on Emerging Markets, the driver of global growth

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