Global investors are continuing with their investment strategy in emerging markets like India, despite weakening global macro-economic conditions, higher crude oil prices and credit concerns, a latest survey states.

According to global financial service provider Merrill Lynch's survey of fund managers for November, investors have remained heavily overweight on the emerging market equities and continue to favour the global technology, energy, materials and industrial sectors.

In the past month, the price of crude oil rose 18 per cent and credit spread. But majority of investors still favour equities and are comfortable with the idea that the global economy can withstand a downturn in the US and believe that bad macro economic news has been priced in, the survey said.

On the other hand, bears can argue that complacency lingers as 12 per cent of respondents expect a global recession in the next 12 months, it added.

However, the survey points out that bulls and bears do agree that the business cycle is maturing with 70 per cent of the panel believing the global economy has entered a late-cycle phase.

"Investors are holding their nerve despite the gloomy outlook for growth and profit expectations," independent consultant to Merrill Lynch David Bowers said. However, signs have emerged that portfolio managers are taking a more conservative view on how they would like to see companies use their cash flow, he added.