Fundamental Quesion

To invest in India, it is necessary to study the global economy, even if I am a resident of India?

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In my opinion, yes, as the world is interlinked for almost everything. Tata Motors have European operations and hence, their consolidated financials will have an impact of their operations in Europe. Almost all of our IT sector have business from US and other countries. So yes it is necessary to have an overview of the world economy in general.
I have heard experts talk that if there is the bond yield increase in US, then there will be an outflow of FII funds from India, as FII would think it is better to invest in US.

Keeping aside all these things, if you want to invest in India and in Indian companies, do a full research on the particular company of interest to you. Look at their peers and who their competitors are and take an informed decision and invest.

All the very best to you.


Yes you should because today the whole world is interconnected and global events play their part in the market. Take for instance the corona virus it had originated in China but now we are also witnessing the devastating impact of the corona virus and it is same for an american or an english person or for most part of the world. so we should have an eye on the major global events although not very detailed but atleast we should have working knowledge about it. because they will affect our market directly or indirectly


Thank you