MSCI September rejig to be effective from Fridays close: 2 PSUs to be added to MSCI Global Standard Index
Periodically, MSCI makes some rejig in the global indices which likely leads to fresh FII inflows.
The MSCI Global Standard Index and MSCI Smallcap Index are slated for a rejig from today's close. As per Zee Business Research inputs, a total of Rs 33,530- Rs 37,730 crore in net inflows are estimated from the FIIs upon the rejig.
In the MSCI EM index, weightage of India will be increased to 20 per cent from 8 per cent in 2020. Also, the weightage of the country's top private lender by m-cap HDFC Bank will be increased in 2 phases.
MSCI Global Standard Index' stocks to be included
Company Expected Inflows (in cr)
DIXON TECH +2624
VODAFONE IDEA +2389
OIL INDIA +2163
ZYDUS LIFE +1861
RVNL +1777
PRESTIGE EST +1492
OFSS +1441
Stocks to be excluded and the likely outflow
Company Expected Outflow (in cr)
Bandhan Bank - 900
Weightage of the below stocks to be increased in MSCI Global Standard Index
Company Expected Inflows (in cr)
HDFC Bank +14830
Bharti Airtel + 2062
Coal India +822
HPCL +192
ICICI Lombard +159
Persistent Sys +125
Furthermore, 27 stocks will be included in the MSCI Smallcap index, including Bandhan Bank, Go Digit, Max Estates, Gulf Oil and GMR Power among others. Meanwhile, 6 stocks namely Dixon tech, Cochin Shipyard, IREDA, HUDCO will be ousted from the index.
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