Mainland Chinese shares are set to join global equity benchmarks as early as in three years’ time, FTSE chief executive Mark Makepeace has forecast, raising the prospect that international investors will have to shift billions of dollars into the market.
Reforms by Beijing have had a “big impact” on how investors view mainland markets, said Mr Makepeace, who is in Asia to “kick off a process” he believes will lead to Chinese equities joining FTSE’s global indices.
“If they continue with the current policies at the current pace . . . I would expect China to be eligible over the next three to five years,” he told the Financial Times yesterday. “Investors need to start thinking about the issue now, and draw up plans in the next 18 months.”