Boursa Kuwait passive flows to be slightly lower at $2.9bln

Boursa Kuwait passive flows to be slightly lower at $2.9bln

Boursa Kuwait said that passive flows are expected to reach $2.9 billion, slightly lower than the previous estimate of $3.1 billion by Kamco Invest, a Kuwait-based investment group which is fully regulated by the Capital Markets Authority. This revision mainly reflects the broad decline in the Kuwaiti indices as well as decline in share price of five out of the seven stocks to be included in the MSCI Emerging Market index. The anticipated addition of Kuwait to the MSCI Emerging Market index at the end of November is expected to positively affect the flow of foreign capital in Boursa Kuwait. The estimate of flows are also consistent with the consensus estimated flows in Indian equities after the increase in weights announced recently. Nevertheless, despite the revision in expected flows, a gradual reclassification of Kuwait from MSCI's Frontier