HDB, BSR, and TAL Added to MSCI’s Largest Frontier Markets Index

On the morning of May 13 (Vietnam time), MSCI announced the results of its Q2 2026 periodic review for global equity indexes. These changes are scheduled to officially take effect after the close of trading on May 29.

For the MSCI Frontier Markets Index—the flagship index representing the frontier market segment—MSCI decided to add five new stocks and remove eight from the portfolio.

Notably, among the newly added constituents are three representatives from Vietnam: HDBank (HDB), Binh Son Refining and Petrochemical (BSR), and Taseco Land (TAL).

Conversely, MSCI removed four Vietnamese stocks from the index: BWE, CMG, DBC, and VTP. Following this rebalancing cycle, Vietnam's representation sees a net change of three additions and four exclusions.

Also in this May review, the MSCI Frontier Markets Small Cap Index will add 25 stocks and remove 19. However, the index provider did not disclose the detailed list of changes for the small-cap basket.

According to data updated as of April 30, the MSCI Frontier Markets Index comprises 247 stocks. With the latest adjustments, the portfolio size is expected to see a net decrease of three components, bringing the total to 244 stocks once the changes take effect.

The index tracks large- and mid-cap segments across 28 frontier markets, where Vietnam continues to hold the top spot in terms of index weighting. As of the end of April, Vietnam's allocation stood at 30.42%, up from 28.81% recorded at the end of January. The next largest markets were Romania (11.87%), Morocco (10.84%), Kazakhstan (7.07%), and Slovenia (6.67%). Compared to the beginning of the year, Vietnam's weight has continued to expand, while several other markets experienced a contraction.

On an individual stock basis, Vietnam has three constituents in the index's top 10 largest holdings: Vingroup (VIC), Vinhomes (VHM), and Hoa Phat Group (HPG). Among them, VIC holds the largest weight in the entire index at 8.86%, while VHM and HPG account for 2.70% and 1.88%, respectively.

In terms of sector breakdown, the financials sector continues to dominate with a 36.17% weighting. Other heavily weighted sectors include real estate (14.99%), energy (10.14%), industrials (7.56%), and materials (7.52%).