‘Investors Can’t Ignore India Despite Rich Valuations’: Sanlam CEO Carl Roothman
India’s strong long-term growth outlook, rising domestic investor participation and expanding financial markets make it difficult for global investors to ignore, despite rich valuations, says Carl Roothman, Chief Executive Officer of Sanlam Investment Group. In a discussion with Sheryll D’Souza of The Free Press Journal , he explains Sanlam’s India strategy, its partnership with Shriram Group,…
Sanlam CEO Carl Roothman emphasizes that global investors cannot ignore India despite its high valuations, citing the nation's robust long-term growth prospects and evolving financial landscape. In an interview with The Free Press Journal, Roothman discusses Sanlam's strategy in India, their partnership with Shriram Group, and the importance of portfolio diversification and retirement planning.
The CEO explains that Sanlam's deep understanding of emerging markets, combined with their relationship with the Shriram Group, made expanding into wealth management, asset management, and stockbroking in India a natural choice.
Roothman notes that the Indian investor's mindset has shifted significantly, moving away from traditional savings methods like cash, bank deposits, gold, and property towards equities, bonds, and mutual funds. Systematic investment plans have played a crucial role in making markets more accessible and driving high participation.
As Indians become more financially aware, they are increasingly focusing on asset allocation and diversification, presenting opportunities for introducing products already developed in other markets.
When asked about the affordability of Indian equities for global investors, Roothman advises taking a long-term perspective and distinguishing India's economic prospects from current stock market valuations. While valuations have become more expensive due to strong market performance, India remains one of the world's fastest-growing major economies, and foreign capital should return as energy prices ease and valuations become more comfortable.
The CEO suggests that corporate earnings are beginning to catch up, providing a positive outlook for investors.
India's growth and active IPO market offer compelling domestic opportunities, but international diversification becomes more relevant as wealth rises and domestic valuations become expensive. Under the Liberalized Remittance Scheme, individuals can remit up to USD 250,000 overseas in a financial year, with a growing portion being allocated to investments.
India's substantial growth, infrastructure investments, and active IPO market make it an attractive opportunity for investors, while also providing a platform for supporting Africa's development through stronger commercial links.
Written by urgent.news from Free Press Journal's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
