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India Vulnerable To Short-Term Money: A.V. Rajwade

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September 27: A.V. Rajwade, Forex and Treasury Management Consultant, says foreign funds will come in only when they can do some risk-free arbitrage. Even if they have a margin of 2% on a fully-hedged basis, they will come in, if not, foreign funds will stay away, he says, adding that this can also be seen in FCNRs. “We’re becoming more vulnerable to hot or short-term money, which can both come in and go out quickly,” he adds.