Higher FPI investment room opens door for $1.8 bn passive inflows
India's weight in the MSCI investible large-, mid- and small-cap index has risen to 2.35 per cent, greater than China's weight of 2.24 per cent, Morgan Stanley said in a note on Tuesday
Weightage almost 70 bps higher than China
Shares of Adani Energy Solutions Ltd (AESL) at last trading session on Wednesday jumped 3.8 per cent despite the flattish markets, as the street is expecting strong inflows by the end of August from the inclusion in the MSCI Indexinflows of USD 250 million according to brokerage houses. On Tuesday MSCI announced that it has lifted Embargo' on Adani Group stocks, which means the stock is eligible for inclusion in the MSCI India Index, after removing the group company last year in late January 2023, due to uncertainty over free-float. Lifting this restriction means that any recent changes in free float plus equity raises are eligible for inclusion. Furthermore, stocks that were excluded can be included again. Earlier in August, Adani group's power transmission, distribution and smart metering company completed a USD 1 billion QIP, which has led to a significant increase in the company's free float. Adani Enterprises, another group company has also proposed fundraising of nearly USD 2
Analysts, on their part, are of the view that long-term investors could continue to hold the stock
Stock Market Highlights on August 13, 2024: Broader indices also settled lower, with small-cap shares being the worst hit as the Nifty Smallcap 100 index fell 1.30 per cent
MSCI, which had earlier excluded Adani Energy and Adani Enterprises from the global standard index, stated it would now review the companies' fundraising activities
MSCI India August rejig: 7 stocks to be included in the India Index, HDFC Bank weightage to increase in 2 tranches; Bandhan Bank on its way out.
Analysts at Nuvama expect an inflow of $281 million in Dixon Technologies as a result, followed by Vodafone Idea at $278 million
HDFC Bank MSCI rebalance news: MSCI has announced that the weight of HDFC Bank will be gradually increased, in two tranches, to full weight of 1
This is on hopes that lender's weight in MSCI Emerging Market index will double in August
Move could lead to doubling of weight in MSCI index; over $3 bn of passive buying, says Nuvama report
With the May rejig, India's stock count in the MSCI Global Standard index is at 149, the highest ever for the country
India's Canara Bank, Indonesian chemical firm Chandra Asri Pacific and Indian power generator JSW Energy will be the three largest additions to the MSCI emerging markets index
In total, there are 42 securities to be added and 121 cut from the all-country world index
As of May 13, 2024, India's weight in the MSCI Emerging Market Index stood at around 18 per cent, a considerable rise from approximately 8 per cent in early 2020
Consistent main course with $8.1 billion served up in Q1 2024
The rally was on the back of an encouraging business update for the March quarter where HDFC Bank's deposit growth remained robust and the loan-to-deposit ratio fell
Nuvama has identified about a dozen "high conviction" domestic stocks that could get added to the index
Nifty ascends 5.5% in November, marking its strongest increase in 16 months