Adani Group stocks resumed their fall on Thursday ahead of a possible reduction in their weighting in MSCI indices after the global index provider said earlier in the day that it will not consider the entire public shareholding in Adani Group firms as free float.
Depending on the quantum of the reduction in free float, passive funds tracking the MSCI indices will have to prune their exposure to Adani stocks to realign with the new composition of the index, which will be announced in the early hours of Friday.
“MSCI has determined that the characteristics of certain investors have sufficient uncertainty