- MSCI announced proposed changes to its sector and subsector hierarchies last year and has just finalized the changes its stakeholders approved.
- Us and ex-US Stocks currently in the Information Technology Data Processing and Outsourced Services Sector are being moved to three different sectors.
- Most of the stocks changing sectors are Payment Processors, Brokerage, Investment, and Bank Software providers, and Payroll Processors.
- Almost 10% of VGT's stocks by weight are going to be removed between now and March of 2023. This includes companies that have seen robust growth.
- We list the other popular ETFs that will also be heavily impacted by this change and suggest alternatives for Tech Sector investors.
For further details see:
Tech Sector Investors Beware: The MSCI Tech Sector Is Losing Some Of Its Strongest Stocks