On the morning of August 8 Beijing time, global index provider MSCI announced the results of its August 2025 index review. In this adjustment, the MSCI China Index added 14 stocks including Horizon Robotics, Lao Feng Xiang Gold, NetEase Cloud Music, and 3SBio, while removing 17 stocks. The changes will take effect after the close of trading on August 26.

Notably, this MSCI China Index adjustment saw a significant increase in newly added Hong Kong-listed constituents, reflecting the strong recent performance of Hong Kong's tech, innovative pharmaceuticals, and new consumer sectors. These additions are expected to attract more incremental capital.

Multiple Hong Kong-Listed Companies Newly Added to MSCI China Index

Among MSCI's index series covering A-shares are the MSCI China Index and MSCI China A Onshore Index. The most noteworthy is the MSCI China Index. As this index is nested within the MSCI Emerging Markets Index, inclusion in the MSCI China Index means entry into the MSCI Global Standard Index Series, thereby gaining tracking by substantial passive funds.

Specifically, the MSCI China Index added 14 constituents this time, including 9 Hong Kong-listed companies: 3SBio, China CITIC Financial Asset Management, GDS Holdings, Horizon Robotics, Lao Feng Xiang Gold, Meitu, NetEase Cloud Music, Kelun-Biotech, and WuXi XDC. This reflects the strong recent performance of Hong Kong's tech, biotech, and new consumer sectors, with related listed companies expected to receive more capital inflows. Five A-share companies were also added: Compass (300803), China CITIC Bank (601998), Giant Network (002558), Allist Pharmaceuticals, and Jingwang Electronics (603228).

The adjustment will take effect after market close on August 26. Therefore, stocks newly added to the MSCI China Index may see last-minute buying by overseas passive index funds during that day's closing auction.

Meanwhile, the MSCI China Index removed 17 Chinese stocks, including 14 A-shares such as Yingjia Liquor (603198), Oriental Yuhong (002271), M&G Stationery (603899), Chihong Zinc & Germanium (600497), Supor (002032), and Juneyao Airlines (603885); one B-share (Baoxin B); and two Hong Kong stocks (Zhongsheng Group and Hisense Home Appliances (000921)).

In addition to the MSCI China Index, the MSCI China A Onshore Index also saw adjustments, adding five constituents: Compass, China CITIC Bank, Giant Network, Allist Pharmaceuticals, and Jingwang Electronics.