Kuwait: Boursa Passive Flows Projected to Hit $2.9 Billion

Kuwait: Boursa Passive Flows Projected to Hit $2.9 Billion

 

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 Market index should offset this decline over time, stated Kamco Invest, a Kuwait-based group fully regulated by the Capital Markets Authority.

 

According to consultation papers from MSCI published in October-2020, a decision would be made this week