The global obsession with artificial intelligence (AI) may be nearing a reality check, and India could emerge as a key beneficiary as investors move beyond the AI-driven market rally, according to Vincent Mortier, Deputy CEO and Global CIO of Amundi.
Mortier said India has been overlooked amid the global rush into AI-linked stocks and concerns over geopolitical risks, despite remaining one of the strongest macroeconomic stories among emerging markets.
“India is a very interesting proposition because of good growth, sound finances and valuations that are no longer expensive,” he said. While AI will continue to transform businesses and economies, Mortier cautioned that expectations around earnings growth and monetisation may be overly optimistic, potentially prompting investors to reassess their allocations.
Amundi remains overweight in emerging markets, including India, assigning 8-10 per cent of its portfolio to both India and China, which is above benchmark weights.
Mortier also argued that India deserves a larger representation in global benchmark indices and revealed that around 10 per cent of his personal equity portfolio is invested in India through a Nifty-linked ETF.