Epoch Times China Reports — MSCI Deleting 10 China Firms From Some Indexes, Retaining Them in Others

BOSTON/WASHINGTON/SINGAPORE—MSCI Inc. will cut seven Chinese firms from some of its global indexes, it said on Tuesday, the third major index publisher to do so following U.S. restrictions on owning the companies. As with similar steps by S&P Dow Jones Indices and FTSE Russell the move means index-tracking funds will need to divest, the latest disruption to markets from an increasingly tough approach to China by the Donald Trump administration. Companies to be deleted include SMIC, China Communications Construction Co., and Hangzhou Hikvision, though MSCI said it will launch new parallel indexes that retain the securities. MSCI said it decided to cut the companies after consulting customers following a ban on U.S. investors buying stocks listed by the U.S. Defense Department as being backed by the Chinese military. China has condemned that ban, announced last month by President Donald Trump, and fund managers have said it could benefit non-U.S. investors …Read MoreNews and stories on China-US relations | The Epoch TimesChina, China-US News, Economy, Politics, Trump Administration, US, World, MSCI, Chinese firms, indexes

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