MSCI to cut weightage of eight major Qatar, UAE stocks - Emirates 24/7

MSCI to cut weightage of eight major Qatar, UAE stocks - Emirates 24/7:



"International equity index compiler MSCI will cut the weightings of eight major Qatar and UAE stocks when it upgrades the countries to emerging market status in May, according to a document seen by Reuters.



The document, sent by MSCI to financial firms at the end of last week, said the weightings of those stocks – four in Qatar and four in the UAE – would be reduced “as they may pose accessibility issues to international institutional investors”.



Repeated calls to MSCI’s London offices for comment were not answered on Monday.



MSCI decided last year to lift Qatar and the UAE to emerging market from frontier market status at the end of May 2014. On May 14, it is to announce the final list of constituents of its revised emerging market index.



This is expected to attract fresh foreign money to the two countries; some analysts have estimated each country could draw over $2 billion. Significant amounts of new money have already started arriving."



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