The firm, in its quarterly review, increased weightage on Bharti Airtel by 1.27 per cent to 2.6 per cent, on Indus Towers by 0.15 per cent to 0.3 per cent, on HDFC Life by 0.11 per cent to 1 per cent, and on ICICI Lombard by 0.04 per cent to 0.6 per cent. Piramal Enterprises has seen weightage rise by 0.03 per cent to 0.28 per cent.
“The current MSCI announced weight changes are largely in line with our expectations and Bharti Airtel is garnering the maximum inflow. The next two flow led weight increases will be seen in HDFC Life and Indus Towers. India will receive net inflow to the tune of $300 million on rebalancing date — February 26,” said Abhilash Pagaria, senior manager at Edelweiss Alternative Research.
Bharti Airtel could be the biggest beneficiary of this rejig. Pagaria said the telecom company could see buying to the tune of 7.44 crore shares which equates to around $700 million in flows.
Life insurer HDFC Life could see inflows to the tune of $71 million while Indus Towers could get $69 million in inflows, said Pagaria.
IIFL Alternative Research expects Bharti Airtel to see inflow of $525 million, Indus Towers $70 million and HDFC Life $55 million. Edelweiss sees ICICI Lombard getting marginal benefit from the MSCI weight increase with inflow of arond $20 million. Piramal Enterprises could also see inflow of $13 million, said Edelweiss.
Shares of Bharti Airtel ended down 1.45 per cent at Rs 590.10 on Wednesday while HDFC Life ended up 2.1 per cent at Rs 719.35.
