(Bloomberg) -- Sri Lanka’s stock market is set to resume trading Monday after its longest ever shut down aimed at combating the pandemic, while the Bangladesh bourse has yet to flag a reopening. Foreign funds, however, may have lost interest during the prolonged wait.“It leaves a bitter taste,” Hasnain Malik, head of equity strategy at Tellimer in Dubai said of the Bangladesh bourse shutdown. “Many foreigners will be put off by the ad hoc closure of the market for such a long period.”Sri Lanka and Bangladesh exchanges are among a handful of global stock markets that halted trading in March after the coronavirus contagion shut down economies and hammered equities. Investors in these markets missed out on a worldwide rebound in equities in April. The island nation’s stock gauge is down more than 20% from its most recent peak in December, while Bangladesh equities last traded on March 25 and are marking their longest closure since 1976.The seven-week “closure of the Colombo Stock Exchange will likely affect short term sentiment toward Sri Lankan equities once markets do re-open as selling pressure would have built up,” said Ruchir Desai, a fund manager at Asia Frontier Capital Ltd. in Hong Kong. Some foreign investors had raised their concerns about the extended closure via intermediaries to the regulator, Desai said.Curbs on imports of non-essential goods and capital outflows were also imposed in March to preserve foreign exchange as the rupee dropped to consecutive record lows. Sri Lanka had registered 797 coronavirus infections and nine deaths, while Bangladesh had 12,425 cases and 186 fatalities, according to data compiled by John Hopkins University as of May 7.‘Black Swan Risk’“The Covid-19 pandemic is the essence of a black swan risk,” said Mattias Martinsson, chief investment officer of Tundra Fonder AB in Stockholm. “There will be a certain understanding of extreme action. In addition, investors in smaller emerging markets and frontier markets are aware that these markets can be more fragile during times like these.”Tundra plans to retain its holding in Bangladesh pharmaceutical shares when trading resumes as valuations are “attractive,” Martinsson said.Still, extended closures of stock markets would have “long lasting consequences”, which could result in stocks “getting kicked out from global indexes like MSCI,” said Thomas Hugger, chief executive officer at Hong Kong-based Asia Frontier Capital, which has equity assets in frontier markets including Sri Lanka and Bangladesh.MSCI Inc. won’t implement any changes resulting from its May 2020 Semi-Annual Index Review for Sri Lanka and Bangladesh securities in MSCI country or composite indexes that they’re a component of due to the prolonged exchange closures, it said in a statement dated May 6. Changes not implemented would be deferred to its August quarterly review.In Sri Lanka, foreign investors haven’t been net equity buyers since last year’s third quarter. Overseas funds, which account for about a third of market volume according to the market regulator, have sold net $28.8 million of local equities so far this year. The Colombo All-Share Index is at its lowest level in almost a decade and trades at a price earnings multiple of 8.41.The island’s curfew restrictions would have led to “lots of practical problems,” especially post-transactions, if the market hadn’t been shuttered, said Dimuthu Abeyesekera, chief executive officer at stock brokerage Asha Securities Ltd. in Colombo.The Securities and Exchange Commission of Sri Lanka “fully understands the impact and possible consequences of the inability to re-open the stock market and the need to recommence market activities at the earliest,” the regulator said in an emailed response to queries.Efforts to cushion a selloff with three tiers of circuit breakers replacing one at the Sri Lankan market’s reopening may help curb a further collapse in stocks in the face of excessive selling, said Kavinda Perera, head of research at Asia Securities Pvt. in Colombo, while Tallimer’s Malik doesn’t expect a rush to withdraw from Bangladesh.“It will be a gradual, long-lasting withdrawal by foreigners,” said Tellimer’s Malik. “Perhaps, a persistent overhang for the market.”For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
MSCI Inc. ("MSCI" or the "Company") (NYSE: MSCI), a leading provider of critical decision support tools and services for the global investment community, published a management presentation for investors on its website, ir.msci.com, on Monday, May 11, 2020. The Company’s management may use this presentation during meetings with investors.
Singapore Exchange
Hong Kong's exchange is launching derivatives with index provider MSCI in a deal that hurts rival Singapore and boosts its global appeal amid U.S. warnings that Chinese pressure on the city’s autonomy threatens its future as a financial hub. The announcement comes days after China's National People's Congress said it would impose new national security legislation on Hong Kong, which U.S. government officials have warned could bring into question the city's special economic status under U.S. law. On Tuesday, White House spokeswoman Kayleigh McEnany said president Donald Trump had told her "it's hard to see how Hong Kong can remain a financial hub if China takes over."
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(Bloomberg) -- Beijing finally pulled the trigger on national security legislation for Hong Kong, sowing panic in the city’s $5 trillion stock market.The Hang Seng Index plunged 5.6% by the close on Friday, its biggest loss since July 2015 when a bubble was bursting in Chinese equities. Real estate companies suffered the brunt of the selling, with an industry gauge sinking the most since the global financial crisis, amid concern the city’s uncertain future will spur investors and residents to shift assets overseas.At stake is whether the city can continue to operate effectively as a global financial center once Hong Kong passes laws curbing acts considered against China’s interests, such as sedition and subversion. The legislation was introduced in Beijing on Friday during the annual National People’s Congress, triggering calls in Hong Kong for renewed protests to safeguard local freedoms.The surprise move by the Communist Party also risks exacerbating tensions with the U.S., and destabilizing global markets still reeling from economic fallout of the coronavirus pandemic. U.S. President Donald Trump, when asked about China’s moves, pledged to respond “very strongly.”The stock selloff was widespread in Hong Kong, with more than two-thirds of the Hang Seng index’s 50 members setting new four-week lows on Friday. The MSCI Hong Kong Index was headed for its worst slide since 2008. The gauge, which includes two U.S.-listed shares, was trading at its lowest level since 2008 relative to MSCI Inc.’s global index.Mainland-based investors have been on a 33-week buying spree in Hong Kong, even as the city’s stocks lagged those onshore. They purchased another net $569 million of the shares on Friday -- the most in two months -- undeterred by a 40% surge in the Hang Seng’s version of the VIX Index. Single-day volatility spikes of that magnitude had only happened five times prior in Hong Kong’s stock market.The Hong Kong dollar weakened for a second day after hovering near the strongest it can trade versus the greenback for two months. Signs of nervousness showed in the options market, with volume on Hong Kong dollar derivatives at one point surpassing those on the yen. The currency’s 12-month forward points were set for the highest close since 1999, reflecting increasing demand to hedge against depreciation.The nervousness bled into global markets, with U.S. stock-index futures dropping 0.5% as of 5:36 a.m. New York time and the MSCI Asia Pacific Index slumping 2%. Investors sought safety in the greenback and yen.Hong Kong had failed to pass national security legislation since the U.K. handed the city back to China in 1997. The last time the local government attempted to introduce such laws in 2003 it triggered such widespread protests the bill was shelved.After demonstrations last year over plans to make it easier to extradite residents to mainland China morphed into the worst unrest in decades, Party officials clearly decided the time for patience was over.While the timing may make sense in Beijing, it could hardly come at a worse time for Hong Kong businesses. The economy is in tatters after last year’s protests and the coronavirus squeezed spending and curbed the flow of tourists and business travelers into the city.What seems certain is Hong Kong will continue its transformation into a financial center for Chinese companies to raise funds and do business globally. Intensifying scrutiny from U.S. exchanges is likely to spur a flood of share sales in Hong Kong by mainland companies unworried about national security laws or unrest -- Alibaba Group Holding Ltd. sold shares in the city last November during the height of anti-government protests.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
The operator of the Hong Kong stock exchange said on Wednesday it has signed a licence agreement with global index publisher MSCI to launch Asia and Emerging Markets futures and options contracts. Under the deal, MSCI will license to Hong Kong Exchanges and Clearing Ltd's unit, Hong Kong Futures Exchange, a suite of its equity indexes in the regions to initially introduce 37 futures and options contracts based on the indexes.
The financial sector is comprised of companies that offer services broadly aimed at providing loans, insurance, and money management services for individuals and firms. The list of financial sector service companies includes retail and commercial banking, accounting, insurance, asset management, credit cards, and brokerages.
MSCI Inc. (NYSE: MSCI), a leading provider of critical decision support tools and services for the global investment community, announced today that it has successfully completed its private offering of $1.0 billion aggregate amount of its 3.875% senior unsecured notes due 2031 (the "Notes"). The Notes will mature on February 15, 2031.
Aoris Investment Management recently released its Q1 2020 Investor Letter, a copy of which you can download below. The Aoris International Fund aims to generate returns of 8–12% p.a. over a market cycle. The portfolio is long-only and highly selective. You should check out Aoris Investment Management’s top 5 stock picks for investors to buy right […]
The $357 million YCG Enhanced fund looks for companies with enduring pricing power in growing industries. The strategy has paid off.
Announcement of Periodic Review: Moody's announces completion of a periodic review of ratings of MSCI Inc. New York, May 20, 2020 -- Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of MSCI Inc. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers.
Ever since the April 6 Tom Petty "Won't Back Down" follow-through day, the bull market continues to power higher. This strength has allowed the majority of IBD's Long-Term Leaders Portfolio to become actionable. IBD's Long-Term Leader MSCI Is At A Buy Point IBD Long-Term Leaders Portfolio member and provider of index and portfolio analytics MSCI (MSCI) released another solid earnings report...
Hong Kong Exchanges and Clearing Limited (HKEX) is today pleased to announce that its wholly owned subsidiary, Hong Kong Futures Exchange Limited, has signed a major licensing agreement with MSCI Inc. (NYSE: MSCI), a leading provider of mission critical decision support tools and services for the global investment community, to license a suite of MSCI indexes in Asia and Emerging Markets for the introduction of futures and options contracts in Hong Kong.
MSCI Inc. (NYSE:MSCI), a leading provider of research-based indexes and analytics , announced today the results of the May 2020 Semi-Annual Index Review for the MSCI Equity Indexes - including the MSCI Global Standard, MSCI Global Small Cap and MSCI Micro Cap Indexes, the MSCI Global Value and Growth Indexes, the MSCI Frontier Markets and MSCI Frontier Markets Small Cap Indexes, the MSCI Global Islamic and MSCI Global Islamic Small Cap Indexes, the MSCI Pan-Euro and MSCI Euro Indexes, the MSCI US Equity Indexes, the MSCI US REIT Index, the MSCI China A Onshore Indexes and the MSCI China All Shares Indexes. All changes will be implemented as of the close of May 29, 2020. These changes have been posted on the Index Review page on MSCI's website at https://www.msci.com/index-review .
MSCI Inc. (NYSE: MSCI), a leading provider of critical decision support tools and services for the global investment community, announced today that it priced its private offering of $1.0 billion aggregate principal amount of 3.875% senior unsecured notes due 2031 (the "notes") at an issue price of 100.0% to yield 3.875% (the "Offering"). Interest on the notes will be 3.875%, and will be payable in cash semi-annually, beginning on December 1, 2020. The size of the Offering reflects an increase of $200.0 million from the previously announced Offering size. The Offering is expected to settle on May 26, 2020, subject to customary closing conditions. MSCI intends to use a portion of the net proceeds from the Offering to redeem all $800.0 million aggregate principal amount of its 5.750% senior unsecured notes due 2025 (the "2025 Notes") and to pay related redemption costs. All remaining net proceeds will be used for general corporate purposes, including, without limitation, potential repurchases of its common stock, investments and acquisitions. The notes will be senior unsecured obligations of MSCI and will be guaranteed by certain of its domestic subsidiaries. This press release does not constitute a notice of redemption with respect to the 2025 Notes.
MSCI Inc. (NYSE: MSCI), a leading provider of critical decision support tools and services for the global investment community, announced today that it intends to issue $800.0 million aggregate principal amount of senior unsecured notes due 2031 (the "notes") in a private offering that is exempt from the registration requirements of the Securities Act of 1933, as amended (the "Securities Act"). The proposed offering is subject to market and other conditions. If the offering is successfully placed, MSCI intends to use the net proceeds from the offering, together with available cash on hand, to redeem all $800.0 million aggregate principal amount of its 5.750% senior unsecured notes due 2025 (the "2025 Notes") and to pay related redemption costs. The notes will be senior unsecured obligations of MSCI and will be guaranteed by MSCI and certain of its domestic subsidiaries. This press release does not constitute a notice of redemption with respect to the 2025 Notes.
Shares in bourse operator Singapore Exchange Ltd
American Century recently released its Q1 2020 Investor Letter, a copy of which you can download below. American Century Focused Global Growth Fund posted a return of -16.95% for the quarter, outperforming its benchmark, the MSCI ACWI Index which returned -21.37% in the same quarter. You should check out American Century’s top 5 stock picks […]
MSCI Inc. (NYSE:MSCI), a leading provider of critical decision support tools and services for the global investment community, today announced the expansion of its megatrend index suite with the launch of five indexes focused on disruptive innovation. The indexes track the performance of companies in dynamic fields, including autonomous technologies, genomics, fintech, and next generation internet.