MSCI Rejig: $2 Billion Inflows For India? Gaurang Shah On Stocks To Buy, Hold Or Ignore

MSCI's November index rejig is set to bring LIC, Coforge, Meesho and Adani Green into its Standard Index, while PI Industries will be excluded. The changes could trigger nearly $2 billion in passive inflows into Indian equities, according to Nomura estimates. But what should investors do with stocks entering or exiting the index? Gaurang Shah, Sr. VP, Geojit Investments, advises investors not to get carried away by these changes, explaining that MSCI inclusions and exclusions have only a temporary impact on stock prices and do not alter a company's underlying fundamentals or long-term business prospects.