China and MSCI EM Index – Is there much of a difference?
Greg Liebl of Parametric Portfolio Associates
When you buy the MSCI Emerging Market Index, are you basically just getting China exposure with performance of those many other EM countries having little impact? Yes, per Parametric. Caveat emptor.
"If all goes according to plan, this month MSCI will pull the trigger on the first of a three-step process to further increase China’s weight in its emerging markets index. The plan, announced in February, raises China A-shares’ inclusion factor in the index from 5% to 10% in May, to 15% in August, and finally to 20% in November."