New Delhi, April 16 -- The war in West Asia has brought global investors to terms with bringing geopolitical risk into their calculations, no longer treating such shocks as infrequent 'tail risks'. Despite fresh jitters shaking up emerging markets, India remains a major beneficiary of shifting capital as investors seek stability in the midst of the turbulence.

Keiko Honda, a board member at Mitsubishi UFJ Financial Group (MUFG) and former chief executive officer of the World Bank Group's Multilateral Investment Guarantee Agency (Miga), said the current volatility is changing the way risk premiums are calculated. Investors are now weighing the probability of conflict directly against projected cash flows, a shift that favours India's comp...