Franklin Templeton has said that Indian stocks are better than their Chinese counterparts when it comes to long-term returns.

The Chief Investment Officer of Franklin, Stephen Dover said that India provides better opportunities for equity investors. This is possible because it has a better growth potential, it is stronger than China and also has quality.

Besides, India also provides more options in terms of company investments. While there are 5,000 companies from which an investor can pick and choose; the number is restricted in China.     Drover further added that the growth trajectory of India is higher because of its younger population.

This is going to get further boost because of the heavy investment that the government is planning to start soon.

Replying to a question, Drover said that China is given more importance because the investors want to grab the opportunity there, but are somehow failing to do so. But India too is getting the importance and many investors are now trying to grab whatever it has to offer.

While the Chinese Shanghai Composite Index has risen by 80 per cent, it has been left behind, though marginally, by India's Sensex. It has rallied by 81 per cent in 2009.