Chance of June A-Share Inclusion Jumps to 50/60% after MSCI Releases New Proposal
March 27, 2017
In a week dominated by the US healthcare vote, China coverage was scant. This oversight is unfortunate, as MSCI released a proposal which significantly increases the prospect of June A-Share inclusion in the provider’s EM index. To be sure, MSCI’s new proposal is limited; it considers only 169 A-Share names, down from the 448 names under advisement in 2016. Nonetheless, we are hopeful that this limited proposal is a sufficiently agreeable compromise, and offers a sign that MSCI is heartened by China’s liberalization progress and will gradually continue adding new A-Shares moving forward.
Topics covered: MSCI, PBOC, Russia, RMB Internationalization, Stock Connect, Capital Controls
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