Business Wire

MSCI Will Increase the Weight of China A Shares in MSCI Indexes

Jaa

MSCI Inc. (NYSE: MSCI), a leading provider of indexes, portfolio analytics, and services for global investors, announced today that it will increase the weight of China A shares in the MSCI Indexes by increasing the inclusion factor from 5% to 20% in three steps. This decision follows an extensive global consultation with a large number of international institutional investors, including asset owners, asset managers, broker/dealers and other market participants worldwide. The proposal to increase the weight of China A shares garnered overwhelming support from investors.

“Stock Connect has proven to be a robust channel to access A shares. The successful implementation of the initial 5% inclusion of China A shares has been a positive experience for international institutional investors and has fostered their appetite to increase further their exposure to the mainland China equity market,” said Remy Briand, MSCI Managing Director and Chairman of the MSCI Index Policy Committee. “The strong commitment by the Chinese regulators to continue to improve market accessibility, evidenced by, among other things, the significant reduction in trading suspensions in recent months, is another critical factor that has won the support of international institutional investors.”

The feedback gathered during the consultation indicated that international institutional investors prefer to see the weight of the China A Large Cap shares increased in three steps rather than in two steps, as originally proposed, to alleviate potential execution pressure on the implementation dates. In addition, a significant proportion of investors also highlighted that China A Mid Cap shares should be included in the MSCI Indexes jointly with the weight increase in Large Cap shares to allow for a smoother implementation. Finally, the proposal to add ChiNext to the list of eligible stock exchange segments for the MSCI Global Investable Market Indexes received wide acceptance.

Consequently, MSCI will increase the weight of China A shares in the MSCI Indexes according to the following schedule:

  • Step 1: MSCI will increase the index inclusion factor of all China A Large Cap shares in the MSCI Indexes from 5% to 10% and add ChiNext Large Cap shares with a 10% inclusion factor coinciding with the May 2019 Semi Annual Index Review.
  • Step 2: MSCI will increase the inclusion factor of all China A Large Cap shares in the MSCI Indexes from 10% to 15% coinciding with the August 2019 Quarterly Index Review.
  • Step 3: MSCI will increase the inclusion factor of all China A Large Cap shares in the MSCI Indexes from 15% to 20% and add China A Mid Cap shares, including eligible ChiNext shares, with a 20% inclusion factor to the MSCI Indexes coinciding with the November 2019 Semi-Annual Index Review.

On completion of this three-step implementation, there will be 253 Large and 168 Mid Cap China A shares, including 27 ChiNext shares, on a pro forma basis in the MSCI Emerging Markets Index, representing a weight of 3.3% in the pro forma index.

As part of this consultation, international institutional investors also stressed that a future weight increase of China A shares in the MSCI Indexes beyond 20% would require Chinese authorities to address a number of remaining market accessibility questions. MSCI is in contact with the appropriate regulatory authorities to discuss the highlighted market accessibility constraints, including restrictions on access to hedging and derivatives instruments as well as concerns regarding the short settlement cycle of China A shares, the trading holidays of Stock Connect and the availability of an Omnibus trading mechanism.

MSCI welcomes the progress Chinese authorities have made thus far to improve the accessibility of the China A shares market and their plans to actively promote the further opening and development of that market. We encourage the rapid realization of that goal, including permitting the listing of index futures and other derivatives on onshore and offshore exchanges to help address international institutional investors’ growing needs for further risk management tools, as well as making further improvements in the settlement cycle, trading holidays and omnibus account structures. These developments would be welcomed by investors ahead of any future weight increases of China A shares in the MSCI Indexes.

MSCI will continue to monitor market developments to ensure that the weight of China A shares in the MSCI Indexes remains reflective of the improvement of market accessibility standards.

- Ends -

About MSCI

For more than 45 years, MSCI’s research-based indexes and analytics have helped the world’s leading investors build and manage better portfolios. Clients rely on our offerings for deeper insights into the drivers of performance and risk in their portfolios, broad asset class coverage and innovative research.

Our line of products and services includes indexes, analytical models, data, real estate benchmarks and ESG research.

For more information, visit us at www.msci.com.

This document and all of the information contained in it, including without limitation all text, data, graphs, charts (collectively, the “Information”) is the property of MSCI Inc. or its subsidiaries (collectively, “MSCI”), or MSCI’s licensors, direct or indirect suppliers or any third party involved in making or compiling any Information (collectively, with MSCI, the “Information Providers”) and is provided for informational purposes only. The Information may not be modified, reverse-engineered, reproduced or redisseminated in whole or in part without prior written permission from MSCI.

The Information may not be used to create derivative works or to verify or correct other data or information. For example (but without limitation), the Information may not be used to create indexes, databases, risk models, analytics, software, or in connection with the issuing, offering, sponsoring, managing or marketing of any securities, portfolios, financial products or other investment vehicles utilizing or based on, linked to, tracking or otherwise derived from the Information or any other MSCI data, information, products or services.

The user of the Information assumes the entire risk of any use it may make or permit to be made of the Information. NONE OF THE INFORMATION PROVIDERS MAKES ANY EXPRESS OR IMPLIED WARRANTIES OR REPRESENTATIONS WITH RESPECT TO THE INFORMATION (OR THE RESULTS TO BE OBTAINED BY THE USE THEREOF), AND TO THE MAXIMUM EXTENT PERMITTED BY APPLICABLE LAW, EACH INFORMATION PROVIDER EXPRESSLY DISCLAIMS ALL IMPLIED WARRANTIES (INCLUDING, WITHOUT LIMITATION, ANY IMPLIED WARRANTIES OF ORIGINALITY, ACCURACY, TIMELINESS, NON-INFRINGEMENT, COMPLETENESS, MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE) WITH RESPECT TO ANY OF THE INFORMATION.

Without limiting any of the foregoing and to the maximum extent permitted by applicable law, in no event shall any Information Provider have any liability regarding any of the Information for any direct, indirect, special, punitive, consequential (including lost profits) or any other damages even if notified of the possibility of such damages. The foregoing shall not exclude or limit any liability that may not by applicable law be excluded or limited, including without limitation (as applicable), any liability for death or personal injury to the extent that such injury results from the negligence or willful default of itself, its servants, agents or sub-contractors.

Information containing any historical information, data or analysis should not be taken as an indication or guarantee of any future performance, analysis, forecast or prediction. Past performance does not guarantee future results.

The Information should not be relied on and is not a substitute for the skill, judgment and experience of the user, its management, employees, advisors and/or clients when making investment and other business decisions. All Information is impersonal and not tailored to the needs of any person, entity or group of persons.

None of the Information constitutes an offer to sell (or a solicitation of an offer to buy), any security, financial product or other investment vehicle or any trading strategy.

It is not possible to invest directly in an index. Exposure to an asset class or trading strategy or other category represented by an index is only available through third party investable instruments (if any) based on that index. MSCI does not issue, sponsor, endorse, market, offer, review or otherwise express any opinion regarding any fund, ETF, derivative or other security, investment, financial product or trading strategy that is based on, linked to or seeks to provide an investment return related to the performance of any MSCI index (collectively, “Index Linked Investments”). MSCI makes no assurance that any Index Linked Investments will accurately track index performance or provide positive investment returns. MSCI Inc. is not an investment adviser or fiduciary and MSCI makes no representation regarding the advisability of investing in any Index Linked Investments.

Index returns do not represent the results of actual trading of investible assets/securities. MSCI maintains and calculates indexes, but does not manage actual assets. Index returns do not reflect payment of any sales charges or fees an investor may pay to purchase the securities underlying the index or Index Linked Investments. The imposition of these fees and charges would cause the performance of an Index Linked Investment to be different than the MSCI index performance.

The Information may contain back tested data. Back-tested performance is not actual performance, but is hypothetical. There are frequently material differences between back tested performance results and actual results subsequently achieved by any investment strategy.

Constituents of MSCI equity indexes are listed companies, which are included in or excluded from the indexes according to the application of the relevant index methodologies. Accordingly, constituents in MSCI equity indexes may include MSCI Inc., clients of MSCI or suppliers to MSCI. Inclusion of a security within an MSCI index is not a recommendation by MSCI to buy, sell, or hold such security, nor is it considered to be investment advice.

Data and information produced by various affiliates of MSCI Inc., including MSCI ESG Research LLC and Barra LLC, may be used in calculating certain MSCI indexes. More information can be found in the relevant index methodologies on www.msci.com.

MSCI receives compensation in connection with licensing its indexes to third parties. MSCI Inc.’s revenue includes fees based on assets in Index Linked Investments. Information can be found in MSCI Inc.’s company filings on the Investor Relations section of www.msci.com.

MSCI ESG Research LLC is a Registered Investment Adviser under the Investment Advisers Act of 1940 and a subsidiary of MSCI Inc. Except with respect to any applicable products or services from MSCI ESG Research, neither MSCI nor any of its products or services recommends, endorses, approves or otherwise expresses any opinion regarding any issuer, securities, financial products or instruments or trading strategies and MSCI’s products or services are not intended to constitute investment advice or a recommendation to make (or refrain from making) any kind of investment decision and may not be relied on as such. Issuers mentioned or included in any MSCI ESG Research materials may include MSCI Inc., clients of MSCI or suppliers to MSCI, and may also purchase research or other products or services from MSCI ESG Research. MSCI ESG Research materials, including materials utilized in any MSCI ESG Indexes or other products, have not been submitted to, nor received approval from, the United States Securities and Exchange Commission or any other regulatory body.

Any use of or access to products, services or information of MSCI requires a license from MSCI. MSCI, Barra, RiskMetrics, IPD, and other MSCI brands and product names are the trademarks, service marks, or registered trademarks of MSCI or its subsidiaries in the United States and other jurisdictions. The Global Industry Classification Standard (GICS) was developed by and is the exclusive property of MSCI and Standard & Poor’s. “Global Industry Classification Standard (GICS)” is a service mark of MSCI and Standard & Poor’s.

Contact information

Media Inquiries
New York
Samuel Wang + 1 212 804 5244 samuel.wang@msci.com
Melanie Blanco + 1 212 981 1049 melanie.blanco@msci.com

London
Laura Hudson + 44 207 336 9653 laura.hudson@msci.com
Calum MacDougal, MHP + 44 203 128 8745 msci@mhpc.com

Hong Kong
James Jarman, FTI Consulting + 852 (3768) 4545 ftimsci@fticonsulting.com

MSCI Global Client Service
Americas
+ 1 888 588 4567 (toll free)
+ 1 212 804 3901

Asia Pacific
+ 852 2844 9333

EMEA
+ 44 20 7618 2222

Tietoja julkaisijasta

For more than 50 years, Business Wire has been the global leader in press release distribution and regulatory disclosure.

Tilaa tiedotteet sähköpostiisi

Haluatko tietää asioista ensimmäisten joukossa? Kun tilaat mediatiedotteemme, saat ne sähköpostiisi välittömästi julkaisuhetkellä. Tilauksen voit halutessasi perua milloin tahansa.

Lue lisää julkaisijalta Business Wire

Earth Networks and RIMES Announce Technical Collaboration to Benefit Member Government Weather Services27.3.2019 02:00:00 EETTiedote

Earth Networks, a global provider of weather intelligence, announced today it has partnered with the Regional Integrated Multi-Hazard Early Warning System for Africa and Asia (RIMES). The partnership will enable a multi-year collaboration program to enhance RIMES’ member state National Hydro-Meteorological Services (NMHS) capacity for early warning of severe weather. The announcement was made at the 6th annual InterMET Asia conference in Singapore. Together, the two organizations are working to improve access to reliable weather information and early warning capabilities in Africa and Asia. By contributing on-the-ground insights from its weather and lightning networks, Earth Networks is providing critical hyperlocal data to RIMES to help regional NMHS close weather observation gaps in real-time and support more accurate forecasting. These technology enhancements will result in quicker warnings to the public before and during severe weather events. Earth Networks has years of experience

Huawei Rewrites the Rules of Photography with Groundbreaking HUAWEI P30 Series26.3.2019 19:04:00 EETTiedote

During an exclusive launch event today at the Paris Convention Center, Huawei Consumer Business Group (BG) unveiled the HUAWEI P30 and HUAWEI P30 Pro. The HUAWEI P30 Series builds on the HUAWEI P Series DNA in design and photography and is the company’s most advanced series of smartphone cameras. These devices feature the innovative HUAWEI SuperSpectrum Sensor, an optical SuperZoom Lens, a new HUAWEI Time of Flight (ToF) Camera, and enhanced optical and AI image stabilization technology. With these revolutionary technologies, the HUAWEI P30 and HUAWEI P30 Pro capture incredible photos and videos in every scenario. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20190326005752/en/ HUAWEI P30 Series (Photo: Business Wire) Richard Yu, CEO of Huawei Consumer BG, said, “the HUAWEI P30 Series is a fundamental breakthrough after decades of digital camera technology development; it will rewrite the rules and reshape everyone’s percepti

Takeda Presents New Data at the Endocrine Society’s 2019 Annual Meeting about the Patient Burden and Long-Term Impact of Chronic Hypoparathyroidism26.3.2019 18:01:00 EETTiedote

Takeda Pharmaceutical Company Limited (TSE:4502/NYSE:TAK) (“Takeda”) this week shared new data revealing the burden of chronic hypoparathyroidism on patients and caregivers, as well as potential long-term risks of renal and cardiovascular complications that patients treated with conventional therapy may experience. Six-year results from the open-label long-term safety and efficacy RACE study were also announced. Data was presented at the Endocrine Society’s 2019 Annual Meeting (ENDO) from 23–26 March in New Orleans, Louisiana, USA. “Results from the Burden of Illness Global Survey in 13 countries reveal the extent of the impact hypoparathyroidism has on patients and their caregivers throughout their daily lives,” said John Bilezikian M.D., Professor of Medicine at the Columbia University Irving Medical Center, New York, NY, USA. “This offers important insights and enables us to take a more holistic approach in the management of these patients due to a greater understanding of the poten

LEO Pharma Standardizes on Veeva Development Cloud to Speed Drug Development26.3.2019 17:58:00 EETTiedote

Veeva Systems (NYSE:VEEV) today announced that LEO Pharma, a global leader in medical dermatology, selected Veeva Development Cloud applications to help drive end-to-end business processes across product development. The company will utilize the Vault Clinical, Vault RIM, and Vault Quality suites to unify drug development on a single cloud platform. With Veeva Development Cloud, LEO Pharma can bring together applications for clinical, regulatory, and quality for even greater efficiency and compliance throughout the product development lifecycle. “LEO Pharma R&D has embarked on an ambitious strategy for 2025, which will pave the way for our ambitions to continuously pioneer dermatology. This requires that we are able to drive science globally, whilst at the same time securing timely delivery on our pipeline,” said Kim Kjøller, executive vice president of global research and development at LEO Pharma. “Veeva Development Cloud gives us a unified platform that can enable us to maximize eff

Keio Plaza Hotel Tokyo Hosts Japanese Sword Culture, Armor Exhibition – “Japan’s Soul and Beauty of Swords and Armor by Legendary Artisans”26.3.2019 17:05:00 EETTiedote

Keio Plaza Hotel Tokyo (KPH), one of Japan’s most prestigious international hotels located in Shinjuku, Tokyo, will host a special exhibition entitled “Japan’s Soul and Beauty of Swords and Armor by Legendary Artisans” displaying beautiful Japanese swords and armor from April 25 (Thursday) to June 27 (Thursday), 2019 in the 3rd floor lobby of our Hotel. This exhibition is part of our series of cultural programs designed to introduce various aspects of Japanese culture to our guests visiting the Hotel from over 100 different countries around the world. Various precious and old swords and armor made during the Heian Period (794-1185) and other periods of Japanese history will be displayed, along with “tsuba” (Sword handle guards separating the handle from the blade) and other ornate sword fittings. On May 14, two masters of sword-drawing from Ryushin Shouchi School will give a live performance in the Main lobby from 5:00 p.m. This press release features multimedia. View the full release

Andersen Global Enters Qatar26.3.2019 16:30:00 EETTiedote

Andersen Global today announced a collaborating agreement in Qatar with Al-Khalifa Law, a leading Doha-based law firm. The collaboration is Andersen Global’s first in Qatar and is part of the organization’s continued growth in the Middle East. Al-Khalifa Law was founded 20 years ago and established itself as a premier firm in the region. The team at Al-Khalifa Law has diversified, deep experience providing services in a wide variety of business sectors, such as commercial contracts, taxation, employment, real estate and retail, intellectual property, dispute resolution and litigation and arbitration. “A collaboration with Andersen Global, which brings with it a culture of stewardship, transparency, and providing best-in-class services, was an obvious decision for us,” said Hamzeh Abdelhady, Office Managing Director of Al-Khalifa Law. “We will be able to continue providing quality services in the market and bring a premier, seamless association of experts throughout the world directly t

Uutishuoneessa voit lukea tiedotteitamme ja muuta julkaisemaamme materiaalia. Löydät sieltä niin yhteyshenkilöidemme tiedot kuin vapaasti julkaistavissa olevia kuvia ja videoita. Uutishuoneessa voit nähdä myös sosiaalisen median sisältöjä. Kaikki STT Infossa julkaistu materiaali on vapaasti median käytettävissä.

Tutustu uutishuoneeseemme