SHANGHAI—China’s dominance in widely followed emerging market benchmarks has investors worried about concentrated risks, fueling demand for indexes that limit their exposure to mainland companies.
Global index provider MSCI’s latest round of China stock inclusion, completed on Nov. 27, took Chinese equities to 34 percent of the MSCI Emerging Markets Index, bigger than the combined weight of the bottom 21 country components. China’s weight in the FTSE Emerging Index stands at 35 percent, and will grow to roughly 37percent by March.
