KARACHI: MSCI, a leading provider of investment decision support tools worldwide, has announced the results of semi-annual index review for MSCI equity indices.

Analysts noted that in the seven months of this year, Pakistan attracted foreign portfolio investment (FPI) inflow of $427 million, which accounting for 20 per cent of the cumulative net inflow of $2.2 billion seen by the frontier markets (FM) during the period.

Although there were no additions or deletions to MSCI FM 100 index during the semi-index review, the MSCI FM small cap index saw the highest additions of three companies from Pakistan.

Currently, the country has 15 companies in MSCI FM index, i.e. OGDCL, MCB, FFC, UBL, POL, ENGRO, NBP, HBL, PPL, PTC, FATIMA, PAKT, KEL, LUCK and PSO.

The small cap index would now include Indus Motors; Murree Brewery and Lafarge Pakistan Cement from Nov 26, 2014.

As a result, Pakistan’s representation in the MSCI FM small cap index would be 23 companies and 12 companies in the main MSCI FM 100 index.

Analysts at AKD Securities observed: “Pakistan’s weight in the MSCI FM 100 index has increased to 7.8pc at the end of Oct’2014, up from 3.8pc six months ago. It is the fourth highest after Kuwait, Nigeria and Argentina with weightage of 23pc, 13pc and 10pc, respectively.”

Published in Dawn, November 8th , 2014