Alibaba may get 3pc weighting in HSIBusiness | 29 May 2020 5:25 pm
The Hang Seng Indexes expects it would give Alibaba (9988) an estimated weighting of 3 percent in the Hang Seng Index if the company joining the HSI, the index company wrote in the blog.
On May 18, it was announced that weighted voting right companies and secondary-listed companies coming from Hong Kong, mainland China, Macau and Taiwan will be eligible for inclusion in the HSI, starting from the August 2020 Index Review.
The market expects Alibaba, Meituan Dianping (3690) and Xiaomi (1810) to become HSI constituents.
According to data from Hong Kong Stock Exchange, the company's market capitalization and average daily turnover in May were about HK$4,200 billion and more than HK$4 billion respectively, making it the largest and most actively-traded stock in Hong Kong. Although WVRs and secondary-listed companies will be eligible for inclusion in the HSI starting from the August Index Review, it is too early to confirm Alibaba's constituency, the company said the blog.