Potential MSCI Formula Shift Puts Indonesia in Focus

Key Summary:
- MSCI Indonesia Index is down by -7% this year
- MSCI proposes free float calculation adjustment
- Estimated net outflows for Indonesian stocks
Morgan Stanley Capital International (MSCI) is currently holding a consultation regarding proposed changes to its estimated free float calculations for specific markets, including Indonesia.
MSCI publishes benchmark indexes covering various markets and company sizes such as Global ACWI, Emerging Markets, Frontier Markets, and Small Cap, which are widely tracked by institutional investors globally.