World's Leading Hedge Funds Pour Rs 6,000 crore into Indian Stocks
An unusual interest in recent share sales by Indian companies were taken by some of the world's largest hedge fund.
Brevan
Howard, Soros Fund Management and other marquee global hedge funds have
latched onto share sales meant for institutional investors, pumping as
much as Rs 6,000 crore into Indian stocks in the past month.
A
sizeable chunk of investments in such qualified institutional
placements (QIPs) by these asset managers is part of a trading strategy
involving shares and futures contracts, according to sources in
investment banks and broking firms. Seven companies, including JP
Associates, GMR and Reliance Communications, have raised close to Rs
15,900 crore in less than a month.
Investment
bankers said hedge funds had to be roped in to subscribe to these share
sales — especially those which raised money more recently — with the
traditional foreign institutional names remaining undecided. At least 18
large hedge funds have invested in the recent QIPs, said three
investment banking sources.
Source: Economic Times
