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    Why invest in infrastructure?

    Reliance has started Infrastructure fund, which is an open-ended equity scheme. Some of us might think, whether investing in infrastructure growth is profitable. Here are some reasons:

    1.Under the current stable government, there is a thrust on infrastructure to move the economy to double digit growth figures.

    2.The interim budget has approved a 77% increase in spending on infrastructural projects and already projects worth 70,000 crores have been given the go ahead.

    3. By contributing to infrastructure projects, we also invest in something which can be used by us, like highways, power projects and railways.

    4. In contrast to shares investment in companies dependant on outsource revenues, which are in turn dependant on global economic cues, infrastructural growth is dependant on the national policy and driven by public demand, which makes them a safer option.

    This mail is not meant as a strategy to market Reliance shares, it is only explanatory in nature on the advantages involved in investing in infrastructural growth.
  • #3060
    It looks like you could have posted a much detailed article about this.

    My suggestion to you is do a little more research and than post a resource about the various infrastructure funds in the market or in general just about the infrastructure funds.

    The point is you get just 1 pt here. You would get much more in the resource section.

  • #3083
    Infrastructure is next big thing in India. In the budget of 2009-10 Indian government is trying to give more for infrastructure. In recent recession Infrastructure bear a big blow.
    But it is recovering and market hopes this sector to grow at high pace because of several reasons:-

    1) Favorable govt. Policies.
    2) Interest on home loans to go down
    3) Loans available to sector on priority rate

    You can also compare recent market run that most of the Infrastructure companies share grew rapidly.

    Regards

    NK
    I have a simple philosophy: Fill what's empty. Empty what's full. Scratch where it itches. [/)]

  • #3259
    Infrastructure has always been a big thing because by investing in infrastructure you are helping our country grow and also getting returns out ot it.Currently our country's infrastructure funding needs is about 750 billion dollars.

    You may not make short term returns out it but in the long term it a reliable thing to invest and we can also save on tax under section 80c by investing in certain goverment approved infrastructure funds

  • #3261
    From the big amount mentioned above of 750 billion dollars, we can get a overview of how large is the need of our country to develop from the basics.

    This shows the need of money and its investment. Taking into consideration the need of a stable government, and that the government needs to be stable, the decisions taken thus are made by keeping infrastructure in center point of view.

    When infrastructure develops, then the other sectors of development also have the effect of development.

    And it is always a first point of development to invest in such funds than any other fund if you want to be in the aggressive type of fund investment and also with a trustful margin of profit.


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