MSCI MSCI Inc

MSCI Inc. (NYSE:MSCI), a leading provider of investment decision support tools worldwide, has launched a new Emerging Markets index – the MSCI EM Beyond BRIC Index. The index, a subset of the well known and widely used MSCI Emerging Markets Index, is comprised of 17 countries and excludes the BRIC countries – Brazil, Russia, India and China – which currently represent over 40% of the MSCI Emerging Markets Index.

“The BRIC countries have been recognized over the past few years as key drivers of economic growth within the Emerging Markets and many institutional investors already have exposure to those countries within their portfolios,” said Deborah Yang, Managing Director and Head of the MSCI Index Business in Europe, the Middle East, Africa and India. “We have launched the MSCI EM Beyond BRIC Index in response to client demand and believe it offers a new way to track and evaluate the Emerging Markets opportunity set for those wishing to invest in countries outside the BRIC region.”

To help diversify the representation across the 17 countries in the index, the weights of larger Emerging Market countries such as Taiwan and Korea are capped on a quarterly basis at 15%, giving greater prominence to smaller Emerging Market countries including Thailand, Malaysia and Indonesia.

                                          Country       Index Weight       Country       Index Weight       Country       Index Weight Chile       3.90%       Korea       15.03%       Poland       3.72% Colombia       2.76%       Malaysia       8.92%       South Africa       15.78% Czech Republic       0.54%       Mexico       12.45%       Taiwan       15.33% Egypt       0.58%       Morocco       0.18%       Thailand       6.11% Hungary       0.50%       Peru       0.98%       Turkey       4.22% Indonesia       6.59%       Philippines       2.42%                

As of July 31, 2012

 

The MSCI EM Beyond BRIC Index has outperformed the MSCI Emerging Markets Index since 1999 (12.0% gross annualized return in USD vs 11.1%). Between 1999 and 2007, the MSCI Emerging Markets Index outperformed the MSCI EM Beyond BRIC Index by 2.1 percentage points (20.1% vs 18%). Since 2007, the MSCI EM Beyond BRIC Index has had a positive annualized performance of 2.83% while the MSCI Emerging Markets Index had a negative performance of 2.1%.

The index may be licensed for benchmarking or as the basis for financial products such as ETFs and structured products. For more information: MSCI EM Beyond BRIC Index

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About MSCI

MSCI Inc. is a leading provider of investment decision support tools to investors globally, including asset managers, banks, hedge funds and pension funds. MSCI products and services include indices, portfolio risk and performance analytics, and governance tools.

The company’s flagship product offerings are: the MSCI indices with close to USD 7 trillion estimated to be benchmarked to them on a worldwide basis1; Barra multi-asset class factor models, portfolio risk and performance analytics; RiskMetrics multi-asset class market and credit risk analytics; IPD real estate information, indices and analytics; MSCI ESG (environmental, social and governance) Research screening, analysis and ratings; ISS governance research and outsourced proxy voting and reporting services; and FEA valuation models and risk management software for the energy and commodities markets. MSCI is headquartered in New York, with research and commercial offices around the world.

1As of September 30, 2012, as published by eVestment, Lipper and Bloomberg on January 31, 2013

For further information on MSCI, please visit our web site at www.msci.com

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