MSCI index changes could shift billions across Asia
after close1 source ↓written by the desknot a recommendation
- to Australia
- $2.7 billion
- to Taiwan
- $2.3 billion
- to South Korea
- $1.9 billion
- see outflows
- $2.1 billion
- $1.6 billion
Goldman Sachs forecasts that MSCI's recent index updates will prompt significant fund flows across Asia-Pacific. Estimated inflows include $2.7 billion to Australia, $2.3 billion to Taiwan, and $1.9 billion to South Korea. Conversely, Japan, Indonesia, and India may see outflows of $2.1 billion, $1.6 billion, and $870 million, respectively. The tech hardware and semiconductor sectors are expected to attract the most investment.
This reshuffle highlights the rapid rebalancing of ETFs and index trackers, which react swiftly to MSCI's adjustments, indicating a potential shift in market dynamics.
Not investment advice. For informational purposes only.