Adani risk casts doubt on Wall Street’s star Emerging Market bet

India’s stocks now account for more than 14% of MSCI’s emerging-market equities index, trailing only China, after it surpassed the weightings of Taiwan and South Korea last year. Morgan Stanley predicts India’s equity market is set to be the world’s third largest before the end of the decade. The downfall of one of India’s most-sprawling businesses could be what holds the nation back as it competes against China as an investment magnet.