China Special: Asia ex Japan ex China - the biggest asset allocation decision of the next decade?

Soon to be viewed as a 'standalone investment'

Fund buyers have predicted the rise of more specialist China funds over the next five to ten years, as the inclusion of A-shares in the MSCI Emerging Markets index kickstarts major changes for equity allocations in the region.

Index provider MSCI made the long-awaited decision in June to include China's A-shares within its Emerging Markets and ACWI indices, starting in June 2018, having received positive feedback from institutional investors. It intends to add 5% of the 222 China A large-cap stocks it has selected to the EM index, representing on a pro forma basis approximately 0.73% of the index's weight.   Fidelity's Nicholls: Why I am excited about 'new China' MSCI has not yet laid out a timeframe for full inclusion, previously saying it needs to account for the existing daily trading limits on the Sh...