Shankar Sharma has expressed doubts about CLSA"s recent "Buy India" note, suggesting that it may be a potential trap for retail investors and domestic institutions.
CLSA, a global brokerage firm, increased its allocation to India to a 20 percent overweight in November while reducing exposure to China.
Sharma questioned the motives behind this shift and speculated about a connection between CLSA and its Chinese parent company, CITIC Securities.
He referred to CLSA"s recommendation as a "Chinese-owned Trojan Horse" and accused the brokerage of misleading Indian investors by selling them unwanted products disguised as favorable advice.
This commentary highlights the ongoing division among brokerage houses regarding their outlook on Indian equities, as concerns about foreign influence and market manipulation persist.