MSCI Could Cap Brazil, India Weights in EM Indexes

On May 31, MSCI will partially include about 233 China large-cap A shares in the MSCI Emerging Markets Index. Nearly $2 trillion tracks the regional index, representing over 85% of all emerging market equity fund assets,” according to MSCI.

India recently opened the Gujarat International Finance Tec-City, or GIFT City, and regulators are making it easier for international investors to trade securities there as part of the country’s efforts to bolster foreign investor accessibility. However, GIFT City is not yet a credible alternative to India’s established equity bourses.

MSCI is consulting with its clients on the matters of Brazil, India, South Korea and Turkey market access and plans to release the results of those consultations at the end of this year.

For more information on the developing economies, visit our emerging markets category.