Strategy shares fell 5.87% on Oct. 14 as MSCI neared an update on a proposed eligibility test that could affect the company’s place in global equity indexes.
The stock closed at $143.24, down $8.94 from the previous session, according to Yahoo Finance historical data. MSCI expects to announce consultation results on or before Oct. 16. The results will address a proposed screen for non-operating companies, not decide Strategy’s removal.
The draft first requires companies to have operating assets worth more than 50% of total assets. A company that misses that test would face five additional flags: operating assets below 20% of total assets; operating expenses below 5%; negative operating cash flow; non-operating fair-value changes above 5% of total assets and above 50% of net sales plus those changes; and financing cash flow above 20% of total assets, alongside filing evidence that the company raised capital to accumulate assets. It would be considered ineligible only if it failed the first screen and triggered at least four flags.
MSCI proposes less stringent thresholds for current index members on operating assets and reliance on financing: below 10% and above 30%, respectively. A current member would need to fail the screens in two annual filings in a row before removal. One failure would place it on a proposed public watchlist.
A simulation using May 2026 data identified Strategy, Yellow Cake PLC and Metaplanet as possible deletions from the MSCI ACWI IMI. MSCI put Strategy’s free-float-adjusted market capitalization in the simulation at $23.931 billion; that figure is not an estimate of fund selling.
Strategy said funds tracking MSCI’s Global Investable Market Indexes hold 3.1% of its basic shares outstanding. The company argues the proposal would not meaningfully affect it and has asked MSCI to withdraw the plan. Its ownership estimate does not quantify how many shares funds might sell after a removal.
In January 2026, MSCI declined to apply an earlier proposal focused on digital-asset treasury companies and opened a broader consultation on non-operating companies. If MSCI adopts the current changes, they are scheduled for the November 2026 Index Review, which MSCI plans to announce Nov. 11 and implement Dec. 1.
