China's aggressive measures to revive its markets and economy are attracting foreign investors, with global brokerage firm CLSA increasing its exposure to China while reducing its stake in Indian equities.

Global investors are flocking to Chinese equities, prompted by aggressive measures from Beijing to revive its market. CLSA has reduced its Indian equity exposure to increase investment in China.

While CLSA has increased its exposure to China, it noted that the return on equity remains stronger for India at 15.4% as compared to 11% in China. Similarly, the consensus 12-month forward earnings per share growth is seen at 15% in India versus 11% in China, it further added.

CLSA has upgraded its outlook on China, increasing its overweight position by 5%. The brokerage has also reduced its overweight stance on India, lowering it from 20% to 10%.