Index giant MSCI announces its decision around 5 p.m. ET Tuesday on whether or not to include Chinese A-shares in its benchmark emerging market index. Chinese stocks are some of the top-performing equities in the world this year, with the Shanghai Composite up 58 percent at a seven-year high and Shenzhen up 112 percent.
Many funds track Chinese companies listed on Hong Kong's stock exchange, but few offer direct access to the mainland Chinese A-shares due to Beijing's restrictions on foreign investment. In the last year, the launch of programs such as the Shanghai-Hong Kong Stock Connect allow for greater investment in mainland equities and could be the tipping point for MSCI to add A-shares to its $4 trillion emerging market index.