14/09/2004 11:27
In a letter sent by FTSE Group on Tuesday, the organization announced its decision not to classify the Cyprus Stock Exchange in the emerging markets due to changes in the listing criteria.
FTSE Consultant, Gareth Parker had told StockWatch a month ago that in September the organization would set the road map for the classification of the CSE in the emerging markets. However, the Equity Committee of the organization decided to change its classification criteria, leaving the CSE out.
“We have added a new criterion. The GDP of a country included in the index must be among the world’s fifty largest”, the letter reported. This excludes the future classification of the Cyprus market in the emerging markets. Mr. Parker was unavailable for comment.
On our contact with the CSE Chairman, Mr. Cleanthous said that the CSE fulfills all the requirements for its classification in the emerging markets and will continue to be under review. “FTSE decided this year to focus on the Asian markets. I have already received a letter, which clarifies that the size of economy is not a permanent criterion”, he added.
FTSE made no changes to the current classification of the countries, including Greece (developed market) and will review again South Korea, Taiwan and the China “A” Shares for an upgrading or a classification in FTSE Global Equity Index. All three are among the world’s 20 largest economies.
FTSE Consultant, Gareth Parker had told StockWatch a month ago that in September the organization would set the road map for the classification of the CSE in the emerging markets. However, the Equity Committee of the organization decided to change its classification criteria, leaving the CSE out.
“We have added a new criterion. The GDP of a country included in the index must be among the world’s fifty largest”, the letter reported. This excludes the future classification of the Cyprus market in the emerging markets. Mr. Parker was unavailable for comment.
On our contact with the CSE Chairman, Mr. Cleanthous said that the CSE fulfills all the requirements for its classification in the emerging markets and will continue to be under review. “FTSE decided this year to focus on the Asian markets. I have already received a letter, which clarifies that the size of economy is not a permanent criterion”, he added.
FTSE made no changes to the current classification of the countries, including Greece (developed market) and will review again South Korea, Taiwan and the China “A” Shares for an upgrading or a classification in FTSE Global Equity Index. All three are among the world’s 20 largest economies.
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