First of all, what is msci? Msci index is one of the most widely used indexes in the world, and its full name is Morgan.

Stanley

capital

International companies are suppliers of American stocks, fixed assets, hedge funds and stock market indexes. Its msci index is regarded as the target of investment index by many institutions around the world. According to msci estimates, in North America and Asia, more than 90% of institutional international stock assets are based on msci index.

Therefore, as an index provider recognized by international institutions and legal persons, msci index is the advantage of its msci index because of its considerable, fair and practical characteristics. There is no doubt that the advantages of A-shares in msci index system outweigh the disadvantages, especially for revitalizing large-cap stock funds.

Secondly, after A shares are included in msci index, they will participate in global capital competition. It is understood that once it successfully joins the msci index, it can attract nearly 400 billion US dollars, which puts higher demands on the operation of A shares.

Also, after A-shares are included in msci index, from the current situation of global stock market, the whole stock market is in a long position, so once A-shares are included in msci index, it will not only affect the bull market of A-shares, but will stimulate A-shares to continue to rise.

The above is the positive impact of the inclusion of A shares in msci index on the domestic stock market. Of course, there are advantages and disadvantages.

The inclusion of A shares in msci index will also bring adverse effects. After the msci index is included, there will be a large influx of external funds to accelerate the capital flow in the A-share market. However, once these external funds are withdrawn, it will cause a shortage of funds and affect the development of listed companies.

Therefore, the inclusion of A shares in msci index has advantages and disadvantages for domestic stock market, which will involve many problems. As msci said, there are still some "important legacy" problems related to market access that need to be solved.