In mid-November 2017, S&P Dow Jones and MSCI (SPDJI/MSCI) announced that the Global Industry Classification Standard, or GICS, telecommunication services sector would be broadened and renamed communication services. The communication services sector will add select media, entertainment, and consumer Internet stocks from the consumer discretionary and information technology sectors to its current telecommunication services constituents.
The GICS structure changes will be implemented after the market close on Friday, Sept. 28, 2018. SPDJI/MSCI plan to announce the large market capitalization companies affected by the GICS structure change in January 2018. This change will have an impact on index funds that focus on the telecommunication, information technology, and consumer discretionary sectors.
Adam McCullough, CFA has a position in the following securities mentioned above: AMZN FB. Find out about Morningstar's editorial policies.