Global Index provider MSCI has announced the list of additions and deletions for May 2022 Rejig. The global index provider MSCI (Morgan Stanley Capital International) rebalances its indices semi-annually and quarterly.
Adani Power, AU Small Finance Bank, Jindal Steel and Power (JSPL), Tata Elxsi are the shares that have been added to the MSCI India index while HDFC Asset Management (AMC) has been removed. The changes in the components of the index will take place from the end of 31 May 2022.
To be eligible for inclusion in an MSCI index, a leading provider of research-based indices and analyzes, a Securities Foreign Inclusion Factor (FIF) must reach a certain threshold. A securities FIF is defined as the proportion of outstanding shares available for purchase on the public stock markets by international investors.
A report by Edelweiss Alternative & Quantitative Research had suggested that Jindal Steel & Power, Adani Power and Tata Elxsi could be included in the MSCI India index. The list is broadly in line with its expectations of a surprise (AU Bank).
On the other hand, 50 small company shares have been added to the MSCI India Domestic Small Cap Index while 10 securities have been removed from the index.
Additions include Apollo Tricoat Tubes, Aptus Value HSG Finance, Bharat Dynamics, CE Info Systems, Easy Trip Planners, Equitas Small Finance, ESAB India, GHCL, Go Fashions India, Godawari Power and Ispat, Greaves Cotton, Greenpanel Industries, among others.
Adani Power Ltd, Bajaj Consumer Care, Cholamandalam Investment, Future Retail, GMR Power & Urban Infra, IOL Chemicals and Pharma, Jindal Steel & Power, NCL India, Solara Active Pharma, Spandana Sphoorty Fin, have been removed from the smallcap India index.