The chances of the Tel Aviv Stock Exchange (TASE) joining the MSCI Europe index next month are 50%, according to Citi analysts. The decision will be made by the end of June at the latest.
The analysts write that, if the TASE does join the index, there will be a small flow of money from passive funds into the market, but that the potential for the future is much greater, as investors discover new companies and a new market, and that this will be a positive development for the Israeli stock market.
If Israel does join the MSCI Europe index, its weighting will be 0.8%, outing it in 13th place among 17 markets on the index, behind Finland, Norway, Denmark, and Belgium, but ahead of Austria, Ireland, Portugal, and Greece, which are weighted below 0.5%.
Published by Globes [online], Israel business news - www.globes-online.com - on May 7, 2013
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