MSci emerging markets index: For the past few months, there has been a huge selling pressure in the Indian stock market. Due to this, India has now slipped to third place in the MSCI Emerging Market Index. In this index, China is ranked first and Taiwan in second place. Not only the ranking but also the weightage has been shocked and it has come down even under the important level of 20 percent. Foreign investors in MSCI EM (Emerging Markets) and MSCI EM Investable Market (IMI) come up to about 50 million million dollars and now its flow is decreasing in India and moving towards China-Taiwan because the market there is magnificent Are performing.
India’s weightage was on high in September
Last year, the Indian market was on a record high in September 2024. Its direct impact was also visible on India’s dominance in the MSCI EM index, when its weightage in the index was close to 20.8 per cent and it was second in the ranking. However, when foreign investors started to withdraw money from here and the market collapsed, its ranking slipped in the index and in January 2025, the weightage also fell to 18.41 percent. Talking about MSCI EM Investable Market Index, India was at the forefront of dominance last year, beating China. While selling in the Indian market, China again took the top position in October. India’s weightage was 22.3 percent in September, which fell to 19.7 percent in January.
Three companies get place in top-10
The 10 shares that have the most dominance in the MSCI index are three from India- HDFC Bank, Reliance Industries and ICICI Bank. India is expected to grow in the coming time in the weightage index. Brokerage house Nuwama Alternative and Quantitative Research says that India’s weightage may increase to 19 per cent in MSCI’s quarterly review, which can lead to a passive inflow of $ 85–100 million. Brokerage estimates that Hyundai Motor India, who recently listed in the market, may invest about $ 25.7 million while IndusInd Bank may have an investment of $ 26.4 million. The new change will come into effect after the market closes on February 28.
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