Wall Street Journal Fund Track column
Sam Mamudi gathered thoughts from fund managers and analysts
on the impact of possible changes in the composition of MSCI Barra's
Emerging Markets Index.
MSCI is looking into to making as many as five country changes to the index, with
South Korea and Israel possibly getting ugraded to developed-markets status
and entering the MSCI EAFE Index. Meanwhile, Kuwait, Qatar and the United
Arab Emirates could become part of the Emerging Markets Index.
"Upgrading Korea would make the emerging markets a more risky investment because it's a stable market," Wyatt Crumpler
, who co-manages the American Beacon Emerging Markets Fund
was quoted as saying.
For his part, Vanguard
chief investment officer Gus Sauter
told Mamudi that
the fund firm is "investigating" how it would go about any required sale of
South Korean holdings.
Others quoted in the article include Morningstar
analyst William Rocco
senior analyst Gregg Wolper
Stay ahead of the news ... Sign up for our email alerts now