MARKET EYE-Investors stick to India, but look at China - BofA-ML

* Emerging market investors have adopted "a modest overweight"
position on Indian shares for the first time since July 2010,
according to Bank of America-Merrill Lynch's survey of fund
managers, which was out on Wednesday.
* However, among Asia-Pacific investors, India was among the
least favoured region, alongside Australia and Philippines,
according to the BofA-ML survey.
* India's BSE index rose 25.7 percent in 2012,
outperforming the regional benchmark MSCI Asia Ex Japan index
, which rose 18.56 percent in the same period.
* In a separate report, BofA-ML says investors are "generally
overweight" on India, based on feedback from investors in the
U.K. and Europe, having added to their positions in the past six
months.
* However, part of that preference was driven by an
"underweight" position in China.
* With the risk of a hard landing receding in China, and with a
potential cyclical shift in the making, BofA-Merrill says,
"there is a possibility of a move towards China over next few
months".

(abhishek.vishnoi@thomsonreuters.com /;
abhishek.vishnoi.thomsonreuters.com@reuters.net)