Hot Money Subject: Economy Section: External Sector Context: India to stay alert for ‘hot money’ after bond index inclusion: official Concept: Hot money refers to the currency that quickly and regularly moves between financial markets and is invested for short-term. In this investors lock in the highest available short-term interest rates for large gains. […]

    Hot money Subject: Economy Context: The Reserve Bank of India’s strategy to shift some of its rupee intervention to the forwards market is drawing hot money in India. Concept: Hot money refers to the currency that quickly and regularly moves between financial markets and is invested for short-term. In this investors lock in […]