The concept of MSCI refers to the stocks of listed companies in China that MSCI has included in its positions, that is, the constituent stocks in MSCI benchmark index. MSCI benchmark index is the most used benchmark index by all investment managers in the world. The collected data of listed companies are classified according to the global industry classification standard, and each industry takes 60% market value as its constituent stocks.

Characteristics of MSCI index

Objectivity: MSCI needs to compile the index in a scientific way. After studying the political economy of various countries, professionals compare the long-term performance of the index according to a unified calculation formula;

2. Fairness: be neutral when modifying the formula, avoid capital flowing into the market, increase instability, maintain a high degree of confidentiality in the process of compiling the index, and maintain a high degree of rigor in tracking;

3. Practicality: NSCI's share price index denominated in US dollars will also calculate the index denominated in local currency;

4. Reference: If investment institutions, legal persons and international fund managers want to beat the market, they need to establish a portfolio with good performance;

5. Liquidity: The stock price index will lose its reference value with the changes of politics, economy, law and corporate finance. To avoid this problem, MSCI will adjust its share division.