Edition 14 – Return of the March black-swan!

In a globalized world such as the one we live in, it is very difficult for a nation to insulate itself completely from geopolitical and exogenous events. This was witnessed during COVID – when nations were struggling to source essential medicine supplies – and post-COVID – when supply chain bottlenecks impacted raw material prices for importers. The current Russia-Ukraine war is the third such instance in the last two years. There will hardly be an economy which will not be facing any negative impact – directly or indirectly. The intensity and duration will be the only variables. In this note we try to assess the impact on the Indian economy and on y(our) portfolio companies, and how we see this as – another opportunity for long-term investors.