MSCI will begin applying a broader eligibility screen to its Global Investable Market Indexes at the close of Nov. 30, a change that could affect crypto treasury companies.
The index provider will first assess whether an issuer has substantial operating assets. If a company does not clear that review, it faces five financial ratios that apply across industries; failing four or more makes its security ineligible. MSCI's consultation said the framework is intended to identify firms that accumulate non-operating assets, generate little cash from business activity, have performance driven by markets and rely on outside capital.
The rules distinguish between companies seeking to join an index and existing members. For a new addition, both of its two latest annual filings must pass the full ineligibility screen; failing that screen in either period rules out entry. An existing constituent would be removed only after failing the ineligibility screen in both periods. MSCI may also consider a more recent interim filing.
The framework replaces interim treatment for securities on MSCI’s preliminary list of companies whose digital-asset holdings reached at least 50% of total assets. MSCI had deferred additions and size-segment migrations for those securities. In January, the provider said it would not apply an earlier proposed exclusion in its February 2026 review and would instead consult on non-operating companies more broadly, a process covered in EconoTimes' earlier report.
In its August consultation, MSCI applied the proposed screen to the MSCI ACWI IMI as of May 2026. It listed Strategy, Metaplanet and Yellow Cake PLC as possible deletions. The exercise does not settle whether any of the companies will fail the finalized rules. For funds that track the affected indexes, a removal could mean adjusting their holdings.
MSCI has published a preliminary list of potentially affected current constituents and plans to release the final list on Nov. 11. The new screen takes effect at the close of Nov. 30.
