Global stock-index compiler MSCI Inc. MSCI, +0.31% said late Tuesday that it will wait to add mainland China-listed shares until “a few important remaining issues related to market accessibility have been resolved.”
In a statement posted on its website, the company said it “expects to include China A-shares in its global benchmarks” once those issues are worked out, and that it plans to form a working group with Chinese stock regulator China Securities Regulatory Commission to address the concerns.
MSCI offered a list of some issues it would discuss with the regulators, including the allocation of investing quotas for large investors, capital mobility and details over beneficial ownership.
“Recognizing the significant progress to date and ongoing reform efforts, China A‐shares will remain on the 2016 review list for potential inclusion into Emerging Markets,” MSCI said.
While the decision was closely watched in China, many analysts had suggested MSCI was unlikely to announce an immediate inclusion of the A-shares — so called to distinguish them from Hong Kong-listed H-shares and other smaller Chinese equity categories.
The Shanghai Composite SHCOMP, -0.15% opened weaker Wednesday and was down 2% in the first five minutes of trade following the announcement, but managed to trim the loss to 0.5% by the midday break.
The eventual inclusion of Chinese A-shares in MSCI’s key indexes — especially the benchmark Emerging Markets Index 891800, -0.58% tracked by an estimated $1.7 trillion in assets worldwide — is expected to provide a strong, though likely temporary, boost to Shanghai stocks.
Ilya Feygin, a managing director at New York-based broker WallachBeth Capital who was among those successfully predicting MSCI’s decision Tuesday, said he expected inclusion in the index, when it happens, would see a reaction similar to when rival FTSE Russell announced two new China indexes in late May.
“The [Shanghai Composite] index initially rallied more than 5% in two days and then fell,” he said of trading following the FTSE Russell move.
Meanwhile, MSCI’s cautious approach garnered praise in comments by BlackRock Inc. BLK, +1.11% .
In a note following the decision, the financial major said: “We also support MSCI’s deliberate process on the inclusion of China A-Shares into its global indexes, recognizing the practical obstacles that remain for their addition. We believe that the Chinese authorities understand these issues and intend to resolve them quickly.” |
发表于 2015-6-10 11:56
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发表于 2015-6-10 23:51
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