Nomura Securities yesterday removed three Taiwanese stocks from its buy list in the Asia-Pacific region, including Formosa Plastics Corp (台塑), the nation’s biggest maker of polyvinyl chloride, or PVC.
The brokerage’s adjustment to its Asia-Pacific Conviction Index came just before Morgan Stanley Capital International’s (MSCI) quarterly review of its own indices, which takes place today.
MSCI is set to announce adjustments to its Global Standard Indices for the February 2011 Quarterly Index Review this morning.
These changes are scheduled to come into effect on March 1.
Taiwan was downgraded by MSCI in both the Emerging Markets Free Index and Asia ex-Japan Index in last November’s quarterly review.
Yesterday, Nomura also removed local bank E. Sun Financial Holding Co (玉山金控) and transportation stock Yang Ming Marine-Transport Corp (陽明海運) from its buy list, according to the securities firm’s report.
Nomura did, however, retain local chassis maker Catcher Technology Corp (可成) on its sell list.
Meanwhile, the nation’s No. 2 telecoms operator, Taiwan Mobile Co (台灣大哥大), was one of five new stocks added to Nomura’s buy list, along with its Chinese peer China Unicom Ltd (中國聯通), its top pick in China’s telecoms sector.