Axis Capital has identified three prominent Indian companies that could face exclusion from the MSCI India Index during the scheduled February 2026 review. The brokerage firm has flagged Astral, Kalyan Jewellers, and Indian Railway Catering and Tourism Corporation (IRCTC) as potential candidates for removal from the benchmark index.

Companies at Risk

The assessment covers companies across different sectors, indicating varied challenges that could impact their index status:

MSCI Review Process

MSCI conducts regular reviews of its indices to ensure they accurately represent the investable equity universe. The February 2026 review will evaluate companies based on various criteria including market capitalization, liquidity, and free float requirements. Companies that fail to meet the index provider's standards face potential exclusion from the benchmark.

Market Implications

MSCI index exclusions typically result in significant implications for affected companies. Institutional investors who track MSCI indices may be required to sell their holdings in excluded companies, potentially creating downward pressure on stock prices. Conversely, companies maintaining their index positions continue to benefit from passive investment flows.

Investment Considerations

Axis Capital's assessment provides investors with advance notice of potential index changes that could occur in February 2026. This early warning allows market participants to evaluate their investment strategies and consider the potential impact of index exclusions on their portfolios. The identified companies will need to address the underlying factors that have raised concerns about their index eligibility to maintain their MSCI India Index status.