Why market sell-offs in India and Indonesia have little in common

When it comes to sentiment among Asian fund managers, Indonesia and India are distinctly out of favour. The findings of a survey by Bank of America on October 13 revealed that Asia’s fifth- and third-largest economies were the least preferred equity markets in the region. Since the beginning of this year, the Jakarta Composite Index has fallen 39 per cent, making it the world’s worst-performing stock market. India’s Nifty 50 Index, meanwhile, is down 12.7 per cent, putting it on track to record.