MSCI snubs China, delays A-shares inclusion

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By Paolo Danese, Rev Hui
16 Jun 2016

Index provider MSCI surprised markets on Tuesday by once again delaying the inclusion of A-shares in its Emerging Markets index. It conceded that China had made some progress, but said the country still has more work to do to tackle concerns over repatriation and restrictions on launching financial products linked to onshore exchanges.

This is the third time that MSCI has turned down A-shares on the basis of accessibility concerns and came despite several global financial institutions, including HSBC, BNP Paribas and Goldman Sachs, all expecting a positive outcome to the 2016 review.

"We under estimated the resistance from the global investment ...

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