TORONTO, March 30, 2017 /CNW/ - India has taken a
crucial step towards implementing its Goods and Services Tax (GST)
bill which has a rollout date of July 1,
2017, after the Lower House of Parliament approved four
supplementary legislations aimed at simplifying the country's
current tax system. Prime Minister Narendra Modi hailed the passage
of the bill saying, "[It is a] new year, [and a] new law, [for a]
new India"
The four tranches of the bill – Central GST, Integrated GST, GST
Compensation, and Union Territories GST – officially passed on
March 29, 2017, and once implemented,
they will remove multiple layers of taxes that millions of Indians
are now subjected to, while also significantly improving the ease
of doing business for multinational corporations looking to set up
operations in India.
"The stars are aligning for India at the moment," says Bhim D. Asdhir,
President and CEO of Excel Funds Management Inc. "Not only is the
Indian stock market among the best-performing so far this year, but
additional catalysts, such as the passage of the GST bill, are
falling into place that will ultimately boost growth even further.
This is a great victory for the Narendra Modi administration and a
great time to be investing in India."
Excel Funds offers three unique products that are focused
on tapping into India's remarkable
growth story. The Excel India Fund, which is the largest and
longest-running, India-specific
mutual fund in Canada; the Excel
New India Leaders Fund, a unique strategy that invests in small and
mid-cap stocks in India; and the
Excel India Balanced Fund, one of the only mutual funds in
Canada that offers exposure to
Indian fixed-income.
The Indian equity market has over 7,200 names, and Excel Funds
is able to provide Canadians with direct access to some of the best
securities within this universe by leveraging the investment
expertise of Birla Sun Life Asset Management Company Limited
("Birla Sun Life"). "This is how we are able to generate
alpha for our investors and outperform other passive strategies
such as ETFs," notes Mr. Asdhir.
Birla Sun Life is headquartered in Mumbai, India and manages over US$25 billion in total assets.1
India's Finance Minister,
Arun Jaitley also talked up the
significance of the four GST-related bills saying, "Today you have
[a] tax on tax [system], you have a cascading effect. When all of
that is removed, goods will become slightly cheaper." This is an
important part of the equation as it demonstrates that the bill is
designed to benefit consumers, which are largely the engine of the
Indian economy. Arun Jaitley had
previously pointed out that once the GST bill is fully in place, it
could potentially boost India's
GDP growth rate by as much as 2 percent.2
To learn more about investing in India with Excel Funds click here.
About Excel Funds Management Inc.
Excel Funds Management Inc. is an award-winning fund manager
that specializes in emerging markets investing. Founded in 1998
with the launch of the Excel India Fund, the largest and
longest-running India-focused
mutual fund in Canada, Excel Funds
has become a true leader in the emerging markets investment space
by offering a wide-range of innovative investment products that
capture new growth opportunities.
Leveraging a best-in-class investment team and an unrivalled
network of sub-advisers, Excel Funds has access to the knowledge
base of over 500 local portfolio managers and 200 analysts around
the world. Its on-the-ground sub-advisers and proprietary asset
allocation models contribute to the firm being recognized as "The
Authority in Emerging Markets".
1 Birla Sun Life Asset Management Company Limited
data, as at December 31, 2016.
2 Bloomberg Business, What's The Big Deal About India's
Goods and Services Tax? Q&A, August 2,
2016.
Commissions, trailing commissions, management fees and expenses
all may be associated with mutual fund investments. Please read the
prospectus before investing. Mutual funds are not guaranteed, their
values change frequently and past performance may not be
repeated.
The information contained in this article is for informational
and illustrative purposes only and is not intended to provide
specific financial, investment, or other advice to you, and should
not be acted or relied upon in that regard without seeking the
advice of a professional. Particular investments or trading
strategies should be evaluated relative to each individual.
SOURCE Excel Funds Management Inc.