KUALA LUMPUR (Aug 20): The FBM KLCI is set to be expanded to 50 constituents in the benchmark index’s upcoming December review.

The 20 newly added constituents will be included at 50% of their final index weight in the review, according to a joint statement from Bursa Malaysia and the index provider FTSE Russell on Thursday. The remaining 50% of the weight will be implemented at the June 2027 index review. 

The expansion will better reflect Malaysia’s economic landscape and spotlight a wider range of Malaysian companies with the evolving market, Bursa Malaysia Bhd (KL:BURSA) chief executive officer Datuk Fad’l Mohamed said.

The planned change to the methodology would be the first since July 2009, when the benchmark transitioned from a 100-constituent index to its current 30.

The proposal was announced earlier this year, with the exchange operator and the index provider seeking feedback since March.

A majority of respondents backed the addition, FTSE Russell noted.

Based on simulations using data as at end-June 2026, the expanded KLCI would include representation from the technology, energy and real estate investment trust sectors for the first time, while moderating concentration in the financial services sector, Bursa Malaysia and FTSE Russell said. 

An enlarged KLCI representation of the Main Market capitalisation will increase to 70% from about 60% based on simulations based on data as at June. 

The FTSE Bursa Malaysia Mid 70 Index, comprising the next 70 largest companies by market capitalisation, will be reduced to 50 constituents and renamed as FTSE Bursa Malaysia Mid Cap Index.