Quarterly rebalance: Afterpay (ASX:APT) added to ASX 20, Kogan (ASX:KGN) joins the ASX 200

Afterpay Ltd (ASX:APT) and Ltd (ASX:KGN) shares will be on watch today after S&P Dow Jones Indices announced its quarterly rebalance of the S&P/ASX Indices…
The post Quarterly rebalance: Afterpay (ASX:APT) added to ASX 20, Kogan (ASX:KGN) joins the ASX 200 appeared first on The Motley Fool Australia. –

A number of shares could be on the move on Monday after S&P Dow Jones Indices announced its quarterly rebalance of the S&P/ASX Indices.

This will see a number of popular shares added and dumped out of our major indices.

Here is a summary of the change that will be effective at the open of trading on December 21:

ASX 20.

The ASX 20 is home to the 20 largest listed companies on the Australian share market and will welcome payments company Afterpay Ltd (ASX: APT). The buy now pay later provider will take the place of insurance giant Insurance Australia Group Ltd (ASX: IAG).

ASX 50.

Afterpay is also being added to the ASX 50 at the rebalance and will be joined by cloud-based business and accounting software provider Xero Limited (ASX: XRO). They will be replacing energy producer Oil Search Ltd (ASX: OSH) and retail property company Vicinity Centres (ASX: VCX).

ASX 100.

The ASX 100 will welcome student placement company IDP Education Ltd (ASX: IEL), mining and mining services company Mineral Resources Limited (ASX: MIN), and plumbing parts company Reece Ltd (ASX: REH) later this month. They join at the expense of Flight Centre Travel Group Ltd (ASX: FLT), Iluka Resources Limited (ASX: ILU), and NIB Holdings Limited (ASX: NHF).

ASX 200.

Finally, the ASX 200 will be welcoming online retailer Ltd (ASX: KGN) and plumbing parts company Reece Ltd (ASX: REH) at the open of trading on December 21. They will actually be replacing three shares in the index. This is due to the ASX 200 currently containing 201 shares following the Deterra Royalties Ltd (ASX: DRR) demerger from Iluka. Leaving the benchmark index are Avita Therapeutics Inc (ASX: AVH)Cooper Energy Ltd (ASX: COE), and Western Areas Ltd (ASX: WSA).

What now?

As fund managers often have strict mandates in relation to the shares they can buy, this news could give certain shares a boost and put pressure on others.

In addition to this, index-tracking funds will be needing to buy the additions and dump the removed shares from each respective index in the near future. This could also add pressure to the buy and sell sides, depending on the share.

Where to invest $1,000 right now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

See The 5 Stocks

*Returns as of June 30th

More reading

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Avita Medical Limited, Idp Education Pty Ltd, and Xero. The Motley Fool Australia owns shares of AFTERPAY T FPO. The Motley Fool Australia has recommended Avita Medical Limited, Flight Centre Travel Group Limited, and NIB Holdings Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Quarterly rebalance: Afterpay (ASX:APT) added to ASX 20, Kogan (ASX:KGN) joins the ASX 200 appeared first on The Motley Fool Australia.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;

To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.

An active and funded account with a positive trading balance is required to continue to have access to the tools;

Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;

Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!