A blog on financial markets and their regulation
I finished reading the fascinating book Capital and Finance in the Age of the Renaissance: A Study of the Fuggers and Their Connections by Richard Ehrenberg, translated by H. M. Lucas (New York: Harcourt Brace Co., 1928) which is available for free download from archive.org. This is one of the few books that provide [ ]
There has been a great deal of consternation in the media about India s recent capital account deficit caused by net outflows of both Foreign Direct Investment (FDI) and Foreign Portfolio Investment (FPI). Some analysts have even raised an alarm about how India will finance its balance of payments. On the contrary, I see no cause [ ]
During the last three months, I have posted multiple times on the growing maturity and depth of Indian financial markets (for example, here, here, and here). Implicit in these posts has of course been the unstated belief that this is a good thing for the economy as a whole, but I did not make any [ ]
In a blog post in February, I argued that we have been witnessing the gradual onshoring of the Indian corporate bond market. A decade ago, the Indian corporate bond market was in New York, but it is now increasingly in Mumbai. In the past, an Indian company wanting to borrow the rupee equivalent of say [ ]
Back in January, I wrote a couple of blog posts in which I welcomed the emergence of a new generation comfortable with equity investment and credited this group with driving the shift that has taken place from foreign to domestic sources of risk capital in India. I have received a lot of push back against [ ]
In my last three blog posts, I wrote about the emergence of large pools of domestic risk capital in India, the crowding out of foreign risk capital, the shrinking share of bank deposits in household financial savings, and the rapid growth of asset managers relative to banks. In this post, I discuss how the Indian [ ]
In my last two posts, I discussed how the emergence of domestic risk capital in India could be crowding out foreign capital. By contrast till the late 2010s, India had relied on foreign risk capital, while its own financial savings went into safe assets like bank deposits and small savings. Since then, Indians have become [ ]
In my previous blog post, I described how and why the Indian financial system has quietly pivoted from relying on foreign risk capital to mobilizing domestic risk capital, reversing a dependence that goes back to the mid 1990s. This blog post moves on from there to discuss how much further this process of supplanting foreign [ ]
During the last decade or so, the Indian financial system has quietly pivoted from relying on foreign risk capital to mobilizing domestic risk capital, reversing a dependence that goes back to the mid 1990s. In this blog post, I will discuss how and why this change happened. In the next post, I will analyse how [ ]
On Republic Day (Sunday, January 26), the Securities and Exchange Board of India (SEBI) launched a virtual museum (called Dharohar) on the Indian securities markets. This website has an image gallery featuring share and bond certificates from the 17th, 18th and 19th centuries. It also has videos of interviews with former SEBI Chairman, Whole Time [ ]