WisdomTree India Earnings Fund (NYSEArca: EPI) was down nearly 4% in early trading Friday as the rupee plunged against the dollar in the wake of the Reserve Bank of India’s measures to limit currency outflows.
The RBI on Wednesday announced more curbs on the amount of money at individuals and companies can send out of the country.
“There is a complete lack of faith in the markets. There are fears that the RBI (Reserve Bank of India) measures may not help improve the rupee,” said Param Sarma, chief executive with NSP Forex, in a BBC News report.
WisdomTree Indian Rupee Fund (NYSEArca: ICN) is down about 9% the past three months. [India ETFs: A Train Wreck Awaits]