Hong Kong based brokerage firm, CLSA (Credit Lyonnais Securities Asia) has raised its 'overweight' on Indian stocks by 20 per cent and cut its allocation on China in its Asia Pacific portfolio.

Read why has CLSA reversed its allocation strategy, raising investment in Indian equities while cutting China exposure.

CLSA said it committed funds at the start of October by tactically deploying some of its over exposure on India to China. It has now reversed that trade, Both MSCI China and India have corrected by 10 per cent in US dollar terms over the duration.