Apropos the debate “Did S&P overreact in downgrading the US?” (September 1), Gurumurthy Kalyanaram calculates that of the global market capitalisation, US securities account for 40 per cent, Japan eight per cent, the UK seven per cent, Germany three per cent, China two per cent and India one per cent.
If the remaining 39 per cent fall in nations with below one per cent capitalisation, surely the smaller economies (not excluding India) are not necessarily bad investment destinations. The investor and his investment adviser have to do good research and not go by Kalyanaram’s blind assumption that because of its size the US is necessarily the best investment destination. After all, the developed economies now have very little upward potential, if any.
Alok Sarkar, Kolkata
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