India may not outperform in 2011: Samir Arora

Though some experts are betting high on India in 2011, Samir Arora of Helios Capital Management holds a different opinion.

According to him, there will be lower foreign institutional investors (FII) inflow in 2011. In an interview to CNBC-TV18, he said that FII inflow in India is likely to be USD 18-20 billion in 2011. Arora is not expecting India to outperform this year. Sector-wise, he is bullish on consumer and auto space. RIL and BHEL could well in 2011, he feels. Below is a verbatim transcript of the interview. Also watch the video. Q: What is your expectation? We got nearly USD 30 billion of FII flows last year and even with that we could manage only a 15%. Do you think this year too is a bit of a grind? A: It will be a grind and maybe we will get less money from foreigners but hopefully some of that will be made up by domestic investors. Last year, although foreigners put a record amount, we have record IPOs and QIPs and also the domestic investors sold some USD 6-7 billion worth. All in all, it was not worthy of USD 28 billion