Sri Lanka’s premier blue chip John Keells Holdings PLC (JKH) is back on the MCSI Frontier Markets 100 Index after being dropped in June, last year, largely due to the low daily turnover volume and general lacklustre conditions prevailed at the Colombo bourse, at the time.
According to the MSCI’s latest quarterly index review (QIR) in February 2019, JKH has been included in the MSCI Frontier Markets 100 Index with effect from March 1, 2019.
The MSCI Frontier Markets 100 Index is a representative and more easily replicable alternative to its broader parent index, the MSCI Frontier Markets IMI (Investable Market Index).
The MSCI Frontier Markets 100 Index includes approximately 100 of the largest and most liquid constituents of the parent index.
During a QIR, the securities from the parent index are added to the MCSI Frontier 100 Index, if they have a minimum liquidity level (12-month annualized traded value ratio (ATVR) above 10 percent), sufficient foreign room (must not be subject to a limited investability factor (LIF) due to low foreign room) and have a free float-adjusted market capitalization above 1.8 times the minimum free float-adjusted market capitalization requirement.