Investing in India: Outside my Circle of Comfort

The Indian markets are outside of my circle of comfort because I am not familiar enough with the landscape, the businesses, and the dynamics. Investing in India would require a deeper understanding of the local environment, similar to private equity investing. However, there are a few factors that make it interesting. India has a history of socialist policies that have hindered growth, but with a leader like Modi, there is a chance for significant change. If the government focuses on getting out of the way and allowing businesses to thrive, there is potential for significant growth in corporate profits. While there are risks and uncertainties, some bets in the banking sector seem favorable as banks tend to grow at a multiple of GDP. Overall, investing in India requires careful analysis of individual opportunities and an understanding of the changing landscape.