Broadband internet service provider Converge ICT Solutions Inc. has made it to the highly-watched MSCI Global Standard Index, the only Philippine company added to the standard (large cap index) counter in its latest rebalancing while three other Philippine firms made it to the small cap index.
Added to the MSCI Global Small Cap Index are RL Commercial REIT (RCR), MREIT, and Synergy Grid & Development Philippines while First Gen Corporation and Filinvest Land Inc. were removed.
The MSCI Global Standard Indexes is an international equity index which tracks stocks across 33 markets. The latest additions will take effect on May 31, 2022.
With 1,539 constituents, the index covers approximately 85 percent of the free float-adjusted market capitalization in each country.
The MSCI World Small Cap Index captures small cap representation across 23 Developed Markets countries. With 4,502 constituents, the index covers approximately 14 percent of the free float-adjusted market capitalization in each country.
“Our inclusion in the global benchmark, the MSCI, is yet another testament to our strong market position. We’re pleased to have joined another index that will further broaden our exposure to international passive investors,” said Converge President Maria Grace Y. Uy.
International mutual funds and exchange-traded funds normally adjust their shareholdings based on the index performance of the listed stocks. Each index in the MSCI is reviewed quarterly and rebalanced twice a year.
“This MSCI addition further bolsters our commitment to drive company performance through our twin strategy – Go Deep and Go National. We have built our national digital highway and we will continue reaching the underserved and unserved areas in the country,” said Converge Chief Executive Dennis Anthony.
Converge is currently included in four global equity indices under the FTSE Russell Indices: FTSE Renaissance IPO Index, FTSE Asean All-Share Index, FTSE Global Equity Index Series (Small Cap), and FTSE Asean Stars.
It is also included in the 30-member basket of blue chip companies in the country, the Philippine Stock Exchange Index (PSEi).