The Casablanca Stock Exchange revamps its range of indices

Stock market indices, designed to reflect market trends and serve as a barometer and benchmark for portfolio managers, are essential devices to support the development and liquidity of any stock market.

With this objective, but also in order to accompany the financing of national companies and to integrate the new international trends, the Casablanca Stock Exchange has proceeded to the reorganization of its range of indices.

This project was carried out in partnership with the Scientific Committee of Indices, drawing inspiration from the best international practices, in close collaboration with market professionals and the various players.

This overhaul has resulted in three main developments: the regrouping of all the Casablanca Stock Exchange indices under the Masi signature; the broadening of the range by the adoption of a new index for small and medium capitalizations and the expansion of the Casablanca ESG 10 index to 15 stocks.

Adoption of a new standardized index naming

This approach consists in the adoption of a unique and standardized reference strategy, in this case the masi signature recognized as a reference of the Moroccan stock market and benefiting from a great notoriety.

All the indices now carry masi. as the first fixed part of their name, followed by a reference to each index as the second part of the name.

Thus,

• the Morocco Stock Index 20 becomes masi.20
• the Casablanca ESG 10 becomes masi.esg
• and the sectoral indices, which measure the performance of each listed sector become: masi.transport , masi.santé , masi.loisirs et hôtels, ...

Setting up an index for small and mid caps

In order to give more visibility to small and mid caps and to support the development of the new alternative market dedicated to SMEs, the Casablanca Stock Exchange has designed an index dedicated to them: masi.mid small cap

This index measures the performance of mid and small caps and provides them with a dedicated indicator. It is composed of 30 stocks, which represent 10.56% of the overall market capitalization, and aims to highlight mid and small cap companies and thus strengthen the liquidity of this segment which historically offers diversified returns compared to the main index.

With the masi.mid small cap, the Casablanca Stock Exchange also offers portfolio managers, whether they are UCITS, institutional or private investors, an inclusive index that offers more flexibility and opens new investment opportunities.

Expansion of the masi.esg index to 15 stocks.

As part of this overhaul, the Casablanca Stock Exchange has also broadened the composition of the masi.esg index to reflect the commitment of Moroccan listed companies to CSR since its launch and the significant improvement in ESG ratings awarded by Moody's ESG Solutions to companies listed in Casablanca. Thus, since the establishment of this index in 2018, the average rating has improved by +24%.

From now on, the masi.esg will be composed of the 15 values (vs.10) that have obtained the highest consolidated scores published by the rating agency.
It should be recalled that this index aims to integrate environmental, social and good governance criteria to the traditional financial selection criteria. It thus responds to an economic context in which Socially Responsible Investment (SRI) is becoming an increasingly important management style and thus supports listed companies that make it a development criterion.

masi, a range of indices at the service of the market