MSCI’s inclusion of A-shares in the emerging markets index would be gradual, starting with 5% in 2015, according to the index provider.
FTSE has over 13 years worth of experience in developing China benchmarks, one of which is the underlying index for the iShares China Large-Cap ETF (NYSEArca: FXI), the largest and most heavily traded U.S.-listed China ETF.
The QFII and RQFII schemes were launched in 2002 and 2011 respectively. Both schemes have gone through a series of changes since their launch and the changes in the past three years are particularly significant. From the end of December 2011 to the end of March 2014, the QFII and RQFII quota available to foreign investors increased from USD 30 billion to USD 150 billion and from RMB 20 billion (USD 3.2bn) to RMB 480 billion (USD 77.2bn), respectively,” according to FTSE research.
ETF Trends editorial team contributed to this post.