A China dominated by high-value technology companies is about to become a reality. That’s true for the stock market at least, even if a transformation of the world’s second-biggest economy is still years away. Technology firms’ weighting in MSCI Inc.’s benchmark Chinese equity gauge will almost double to 26 percent by May, after a Nov. 12 review when overseas-listed firms from Alibaba Group Holding Ltd. to Baidu Inc. become eligible for inclusion, according to Goldman Sachs Group Inc. The change will affect investors with at least $400 billion of Chinese stock holdings and give the country a higher concentration of software companies than any other MSCI index worldwide. The stock gauge’s...
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