Geojit BNP Paribas has launched a new service catering to the needs of Qualified Foreign Investors (QFIs).
The company will provide the service through its network of joint ventures in the UAE, Saudi Arabia, Oman, Kuwait and Bahrain.
Addressing a press conference here on Thursday, Mr C. J. George, Managing Director, Geojit BNP Paribas, termed the new service as a milestone as far as the Indian capital market is concerned as the country has never allowed foreigners to invest in stocks directly.
“This is the first time that our market has been opened to foreign investors directly and huge amounts of money, especially from the Middle East, may flow to India,” he said.
In the context of the global financial turmoil, Mr George said the Indian economy offers tremendous long term investment opportunity to foreign investors who are looking to diversify their investment portfolios. This is an excellent opportunity for India to approach investors in those countries, who are uncomfortable with the investment opportunities there, he said.
“Geojit BNP Paribas has a distinct advantage in that we have a strong presence in the Middle East through our partnerships and this new investment service will attract many investors into our country,” he added.
The recent road show, ‘India — the Incredible Investment Destination’, conducted by the company in alliance with the Finance Ministry in various Gulf countrieshad turned out to be a huge success. The show drew the attention of several high net-worth Arab investors across the region, he said.
Through the QFI route, both institutional and retail investors, including private banks and their clients, hedge funds, pension funds, family offices, individuals, and so on, can invest in Indian stock, bond and mutual fund markets.