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JPMorgan Says Buy Indian Investment-Grade Bonds as China Hedge

Narae Kim
JPMorgan Says Buy Indian Investment-Grade Bonds as China Hedge

Emerging-market bond investors seeking shelter from an economic slowdown in China can flock to Indian investment-grade dollar bonds, according to JPMorgan Chase & Co. “For EM investors, India IG could present itself as a China hedge for their non-Asian exposure,” wrote the bank’s analysts including Varun Ahuja in an Aug. 23 note. A China slowdown could spur a commodity slide and affect the broader EM markets, which in turn, benefits India’s macro story, they said.