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[$$] Ryanair and KT face stock turmoil over removal from indices

Josh Spero and Philip Stafford in London

, South Korea’s largest telecoms company, could be set for a bout of unusual turmoil in their stock prices, as MSCI considers removing them from global equity indices because of distortions caused by their share structures. Both companies are candidates for ejection because of the way the New York-based indexing company treats depository receipts — instruments issued by a company and traded overseas as a proxy for its shares. MSCI is concerned about valuation gaps between depository receipts and the companies’ primary listings, which could make life difficult for investors trying to track indices.