Even though China remains the 'only game in town', Brandt added that India's inflows still remain in a 'healthy position', as most of the money is coming at the expense of Europe.
India will continue to attract foreign funds because many forecasts for the developed world, especially Europe, for the end of the year and into the next year make somewhat gloomy reading, said Cameron Brandt of EPFR Global
"India is highly geared towards international energy prices and with the current geo-political developments pushing the oil prices up, the interest rate picture is likely to be less accommodative towards most emerging markets"
Speaking to CNBC-TV18 Cameron Brandt of EPFR Global said that there is a consensus that the US Fed tightening will be benign. "Investors are tip-toeing back into emerging markets," he said, adding that the biggest drag in the uncertainty over Chinese economy.
The long only funds into India are still cautious but the tide is slowly beginning to turn encouraged by recent Budget, says Cameron Brandt, Director-Research, EPFR Global.
Chinese markets have been dropping sharply for the last month, with the Shanghai composite index down by a third over the last three weeks and dropping 5.9% today.
Rishav Dev of Quant is not too worried about the decline in fund flows in September. He says maybe the magnitude of flows has slowed, but it is inflows nonetheless. Moreover, he adds, global factors are in India's favour.
Although India has begun to see some attraction from foreign money, mutual fund redemptions still continue and there are no inflows into India-dedicated funds says Cameron Brandt of EPFR.
In the last couple of days China came out with some sweeping reforms. Many market experts are worried that the incremental flows might now move to China vis-Ã -vis India. Cameron Brandt, Director of Research at EPFR Global feels the reforms will be perceived as being positive for Asia, minus Japan.
Cameron Brandt of EPFR believes that FII outflows from EM equity and bond funds are bottoming out. Trend of economic data from emerging markets will determine trend of flows, he tells CNBC-TV18.
In an interview to CNBC-TV18, Cameron Brandt, Director - Research, EPFR Global said that the FII outflows from emerging markets had seen a moderate reduction. He added that India had seen an outflow of USD 12 million on the last day of the last week.
Cameron Brandt, senior analyst, EPFR Global explains on CNBC-TV18 that incremental funds from bonds have begun to flow into GEM equities followed by Asian equity funds led by China. Brandt adds that energy funds, which lost investor-interest have begun to witness a return of interest from the bulls.
Cameron Brandt, director of research EPFR, in an interview to CNBC-TV18’s Sonia Shenoy, gave his views on how the global market will perform going forward.
Markets across the world are reeling under pressure on the talks that double dip recession may hit the markets again. Cameron Brandt, director of research at EPFR Global, in an interview with CNBC-TV18's Reema Tendulkar gave his views on how the global markets will pan out going forward.
Cameron Brandt global markets analyst at EPFR Global told CNBC-TV18 that the data released by them recently showed that for the first time this year, emerging markets equity funds did better than their developed markets counterparts.