Home›Global Markets›Trade & Tariffs›MSCI removes Swiggy from key indices, raising passive…

MSCI removes Swiggy from key indices, raising passive outflow risk

The index deletion is effective September 7, 2026, and market estimates point to passive outflows of up to $340 million from tracking funds.

Reported · Written up by our desk · Trade & Tariffs

Swiggy shares are facing renewed pressure after MSCI removed the food delivery company from its MSCI Global Standard Index and MSCI Mid Cap Index, announced for Wednesday, September 2. CNBC-TV18 later said the removal is effective September 7, 2026, setting up a key date for investors focused on index-linked ownership and trading.

According to LiveMint Markets, the change could trigger selling by funds that track MSCI indices. Market estimates suggest passive outflows could reach up to $340 million following the removal, adding to Swiggy's existing share weakness.

The development follows Swiggy getting approval at its annual general meeting on August 18 to become an Indian-owned and controlled company. LiveMint Markets said to qualify, foreign ownership must stay below 50% and the board must be majority resident Indians, with Swiggy lowering its foreign holdings cap to 49.5% from 50.02% in June.

Jefferies India, cited by LiveMint Markets, said the foreign-holdings cap could drive short-term passive outflows from foreign funds that replicate MSCI and FTSE indices, though it noted domestic investors could offset some pressure if Swiggy's fundamentals improve. The report also said Swiggy shares closed down 2.65% on Wednesday and have lost nearly 37% of their value so far, according to the outlet.

Latest closeFTSE 100 10,789.30 ▼0.0%

More like this

Sources