Morgan Stanley

MSCI Barra to Introduce New Equity Indices for China QDII Investors

Oct 10, 2006

Shanghai —

MSCI Barra, a leading provider of benchmark indices and risk management analytics products, announced today that it will launch a new series of China equity indices designed to reflect the equity investment opportunity set available to China Qualified Domestic Institutional Investors (QDII). The new indices feature the MSCI China H Index, which reflects the current non-domestic opportunity set available to QDII investors. This new series, which will be available later this month, provides China investors who wish to invest beyond the domestic A Share market with indices that reflect non-domestic China equity investment opportunities.

"The introduction of these QDII indices demonstrates MSCI Barra's continued commitment to developing products that can fulfill the evolving needs of China equity investors. The QDII scheme represents an important development for the investment industry in China. MSCI Barra is committed to providing tools to help investors understand current and new opportunities as they become available in this dynamic market," said Henry Fernandez, President and CEO of MSCI Barra. "Since MSCI Barra introduced the MSCI China A Index in May 2005, we have continued to reinforce our leadership position in China through the introduction of innovative products, including the MSCI China A Value and Growth, and Absolute Value and Absolute Growth Indices introduced in June."

The new indices will also include a series of composite indices, which reflect the combined investment opportunity of domestic and non-domestic China equities. The composite indices range from the MSCI China A + H Index, which represents the combined opportunity set currently available to QDII investors, to the MSCI Zhong Hua Composite Index, which combines the MSCI China, Hong Kong and China A Indices. The composite indices will enable investors to understand the performance of the opportunity set that is currently available to them in relation to the broader China opportunity set.

About MSCI Barra

MSCI Barra develops and maintains equity, fixed income, multi-asset class, REIT and hedge fund indices that serve as benchmarks for an estimated USD 3 trillion on a worldwide basis. MSCI Barra's risk models and analytics products help the world's largest investors analyze, measure and manage portfolio and firm-wide investment risk. MSCI Barra is headquartered in New York, with research and commercial offices around the world. Morgan Stanley, a global financial services firm and a market leader in securities, asset management, and credit services, is the majority shareholder of MSCI Barra, and Capital Group International, Inc. is the minority shareholder.

For further information on MSCI Barra, please visit our web site at

For media enquiries please contact:

Ben Curson | Clare Rowsell, Penrose Financial, London + 44.20.7786.4888
Ann Taylor Reed | Mary Beth Grover, Abernathy MacGregor, New York + 1.212.371.5999

MSCI Barra Global Client Service:

Aatish Suchak, MSCI Barra, London + 44.20.7618.2222
Cecile Distel, MSCI Barra, New York + 1.212.762.5790
Jackson Wang, MSCI Barra, San Francisco + 1.415.576.2323
Susanna Wu, MSCI Barra, Hong Kong + 852.2848.6740
Pavithra Ramasubban, MSCI Barra, Sydney + 61.2.9220.9333
Masao Ikeda, MSCI Barra, Tokyo + 813.5424.5470

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