Index complier MSCI said that it will make Chinese new economy securities constituents in its benchmark indexes starting from February 28.
A total of 12 Chinese shares will join the MSCI Global Standard Indexes including Hong Kong-listed Xiaomi and Meituan Dianping, US-listed Pinduoduo and IQIYI, as well as Shanghai-listed Foxconn Industrial Internet.
Xiaomi, Meituan and Pinduoduo will also join the MSCI China All Shares Indexes.
This inclusion can benefit the firms because it means billions in capital from passive funds tracking these indexes from around the world will flow to these Chinese new economy shares.
However, the news did not seem to have a major impact on the Tuesday trading session. Xiaomi ended 0.9% lower and Meituan Dianping dropped 4.1%, but Foxconn Industrial Internet added 3.2%.
