Yuanta Investment Trust is launching Taiwan's first fund combining the Indian stock market and US bonds, named the 'Yuanta India-US Strategic Multi-Asset Fund', which will begin fundraising on May 12. The fund manager Hsiang Ssu-ying mentioned that the opportunity in India stems from its 'three supercar characteristics': economic supercar, financial supercar, and stock price supercar.

Hsiang explained that under Prime Minister Narendra Modi's leadership, India has implemented numerous economic and institutional reforms. It is expected to become the world's fifth largest economy by 2024, with a GDP surpassing $3 trillion, and is projected to rank third globally by 2027, making it one of the fastest-growing economies in the world.

Why choose India? Hsiang emphasizes that India not only boasts strong domestic demand and demographic advantages but has also successfully attracted global supply chains. For example, Apple plans to produce one-third of its iPhones in India by 2027, and Foxconn is reportedly expanding its factory in Greater Noida with a new 300-acre site. Other giants like Google, Amazon, and Microsoft are also accelerating their setups in India.

She analyzed that India's rise can be divided into three phases: Modi's 1.0 reform phase, 2.0 benefit phase, and the upcoming 3.0 harvesting phase. During his second term, India has become well-positioned to accept a shift in manufacturing due to the US-China trade tensions and the transition of supply chains.

The Yuanta India-US Strategic Multi-Asset Fund's strategy blends 'momentum growth' with 'defensive income', utilizing the Indian stock market as a growth driver while US bonds provide steady returns. Although the yield of the Indian stock market is relatively low, the long-term goal is to outperform the yield of US 10-year treasury bonds.