MSCI Inc. added seven Indian stocks to its global gauge for emerging markets under its August review, and removed one, according to a statement on early Tuesday. The changes will come into effect from August 30 before the markets close.
The global index provider added Rail Vikas Nigam Ltd. and Zydus Lifesciences Ltd. to large cap section of its Emerging Market Index. While Vodafone Idea Ltd., Oil India Ltd., Oracle Financial Services Ltd. and Prestige Estates Ltd. are the new additions to the mid-cap section of the index, Dixon Technologies (India) Ltd. has been upgraded to the same from small-cap status.
However, Bandhan Bank Ltd. has been relegated from mid-cap to small-cap segment.
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With the latest review, India's weightage in the MSCI standard index will increase 40 basis points to 19.8%. The upgrade will see index market cap for India increase by $57.26 billion, shows the MSCI statement.
Meanwhile, neighbouring China saw its weight in the index drop 50 basis points to 24.2%, with the nation's index market cap declining by $4.57 billion.
MSCI India Domestic Indexes
MSCI India Domestic Indexes saw eight additions and no deletions in the August review.
In the domestic indices, Rail Vikas Nigam Ltd. has been upgraded to large-cap section from small cap, while Zydus Lifesciences Ltd. is a fresh addition to the segment. Vodafone Idea Ltd., Bosch Ltd. and Oil India Ltd. are new additions to the mid-cap section of the gauge.
Phoenix Mills Ltd., Dixon Technologies (India) Ltd. and PB Fintech Ltd. have been upgraded from small cap to mid-cap section.
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Meanwhile, the expected weight hike for HDFC Bank Ltd. did not come to pass in the latest review. Decline in FII shareholding during the June quarter had sparked hopes for an weight increase in MSCI indexes for the Indian private lender. At the time of the merger of HDFC and HDFC Bank, the index provider had assigned a lower weight to the merged entity.
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