Romania will be represented in the the FTSE Global All Cap indices with 9 companies starting next month after the shares of Transport Trade Services (TTS) are included in the Small Cap category.
On Friday, 23 August, global index provider FTSE Russell made public the announcement of their semi-annual review indicative results that will become effective as of 23 September 2024.
According to the announcement, the shares of the TTS, a company listed on the Bucharest Stock Exchange (BVB) since July 2021, with a market capitalization now reaching RON 1.45 billion and the company with the highest return from the BET-XT index last year, will be included in the FTSE Global All Cap indices.
Thus, Romania will be represented in the the FTSE Global All Cap indices with 9 companies: Banca Transilvania (TLV), Electrica (EL), Hidroelectrica (H2O), MedLife (M), Nuclearelectrica (SNN), OMV Petrom (SNP), One United Properties (ONE), Teraplast (TRP) and TTS (TTS).
In the FTSE Global Micro Cap indices, Romania will be present from September with Bucharest Stock Exchange (BVB) and Purcari Wineries (WINE). The shares of Bittnet Systems (BNET) will be excluded from these indices, as the company’s free float market capitalization sits below the minimum required threshold of the FTSE Global Micro Cap indices.
Also, the shares of Aquila Part Prod Com (AQ), AROBS Transilvania Software (AROBS), Conpet (COTE) and Sphera Franchise Group (SFG) will be excluded from the FTSE Global Micro Cap indices as their market capitalization now exceeds the maximum allowed threshold of the FTSE Global Micro Cap indices, as determined at the current review. This means that there are prospects that their shares will be included in a higher size category in the future.
The development of Romania’s capital market was recognised internationally by FTSE Russell, a global index provider, and in 2020, Romania was upgraded to the Emerging Market status, thereby opening the way for the capital market to a much wider investment universe.
The consolidation of the Emerging Market status, by growing the number of companies included in such indices, is one of the main goals of BVB, as it will contribute to attracting substantial funds to the listed companies and, implicitly, to the Romanian economy.
At the same time, as of 2 September 2024, Romania will be present in the indices of global index provider MSCI, MSCI Frontier IMI, MSCI Romania IMI, MSCI Frontier and MSCI Romania, with 32 companies, which means 10 more companies than last year.
FTSE Russell is a subsidiary of London Stock Exchange Group that produces, maintains, licenses, and markets stock market indices. The division is notable for FTSE 100 Index, Russell 2000 Index, among other indices.
MSCI is a US-based global provider of equity, fixed income, real estate indices, multi-asset portfolio analysis tools, ESG and climate products.
