Taipei: MSCI Inc., a global index provider, has raised Taiwan's weighting in one of its major indexes but cut the weighting in two other indexes after a regular index review.

According to Focus Taiwan, MSCI announced an upgrade of Taiwan's weighting in the MSCI All-Country World Index by 0.01 percentage points to 2.41. However, the country's weighting in the MSCI Emerging Markets Index, which is closely monitored by foreign institutional investors, was reduced from 21.18 percent to 21.15 percent.

In addition to these changes, MSCI also decreased Taiwan's weighting in the MSCI All-Country Asia ex-Japan Index by 0.06 percentage points to 24.06 percent. The index provider conducts these reviews quarterly in February, May, August, and November, providing guidance for professional investors in portfolio adjustments.

The latest adjustments are slated to take effect after the market closes on Feb. 26. Following the index review, China experienced the largest increase in weighting within the MSCI Emerging Markets Index by 0.17 percentage points, while Saudi Arabia faced the most significant reduction of 0.04 percentage points. For other emerging markets, changes were minimal based on MSCI's data.

Additionally, MSCI has incorporated IC testing equipment supplier Hon. Precision, Inc. into the MSCI Global Standard Indexes, while removing four companies: tire maker Cheng Shin Rubber Industry Co., garment producer Eclat Textile Co., sports footwear provider Feng Tay Enterprises Co., and curtain maker Nien Made Enterprise Co. These firms, however, have been included in the MSCI Global Small Cap Indexes, joined by eight other companies such as offshore wind engineering service provider Dong Fang Offshore Co. and IC testing and assembly firm Formosa Advanced Technologies Co.

Conversely, MSCI removed 11 stocks from the MSCI Global Small Cap Indexes, including embedded processor intellectual property supplier Andes Technology Corp., power management solution provider Channel Well Technology Co., and touch panel maker General Interface Solution (GIS) Holding Ltd.

Post-review, the number of companies in the MSCI Taiwan Index decreased from 86 to 83. Among these, Hon. Precision Inc. received the most significant weighting increase of 0.39 percentage points, bringing it to 0.39 percent, whereas contract chipmaker Eclat Textile saw its weighting reduced by 0.11 percentage points, marking the largest cut.