Overview
- Strategy sent a formal letter this week objecting to MSCI’s consultation and asked the index provider to withdraw the proposed “non‑operating company” test.
- MSCI’s proposal would first label firms with operating assets below 50% of total assets and then apply five financial-ratio flags, with four flags rendering a company ineligible for MSCI Global Investable Market Indexes.
- A May 2026 MSCI simulation showed Strategy, Metaplanet and Yellow Cake would face deletion under the test while three other firms would be placed on a watchlist, concentrating most of the affected market value in Strategy.
- Strategy says U.S. GAAP, IFRS and securities rules do not define the operating versus non‑operating split, notes its SEC filings treat Bitcoin as a reportable operating segment, and has demanded MSCI base any rule on established standards and preserve related documents.
- MSCI is taking feedback through Sept. 30 and expects a decision by Oct. 16 with changes phased into the next index review, a timeline that gives Strategy a short window to influence the outcome while it continues corporate Bitcoin purchases.