In line with market expectation, MSCI Inc – a leading provider of research-based indexes and analytics globally – has relocated two leading Pakistani stocks; Lucky Cement and United Bank Limited (
UBL), to its small-cap indexes from mid-cap indexes with effect from December 1, 2018.
However, it has unexpectedly removed Honda Atlas and Maple Leaf Cement from MSCI Global Small Cap Indexes, according to the Geneva-based firm’s November 2018 semi-annual equity indexes review results announced in wee hours (according to Pakistan time) on Wednesday.
Foreign investors having an estimated $1.4-1.7 trillion funds in hand, track the MSCI Emerging Market indexes to decide whether to invest or divest in the constituencies listed at stock markets around the globe.
“With this event, Pakistan’s weight in the MSCI EM is expected to fall to 0.037% from earlier 0.055% (as of October 23, 2018), as per our workings,” Topline Securities CEO Muhammad Sohail said in a post-results comment.
