Nasdaq Reshuffle

Most investors in U.S. stocks will be at least indirectly affected by the rebalance. Billions of dollars of stock will be bought and sold in response to the rebalance. Luckily, the selling will occur in some of the world’s most liquid stocks, meaning the price impact should be limited. Markets may experience a bit higher volatility as the changes become known and the market repositions.

I think that the Big 7 stocks could go down a little due to selling off and the other 93 stocks in the Nasdaq 100 could get a little bump up, some more than others. What do you think? Also the article mentions that the fees that the funds charge may increase due to increased trading activity as they reshuffle temporarily impacting profits…doc


More on this and how the shuffle will be handled…doc

How Much Will Nasdaq 100 Megacaps Be Cut?

Based on Nasdaq 100 methodology, the combined weight of the five companies with the largest market caps will be set to 38.5%. The five-largest companies, Apple, Microsoft, Google, Amazon and Nvidia had a combined weight of 46.7%. That suggests some notable reduced weightings for these names.

Meanwhile, no component outside the top-five market cap companies can have a Nasdaq 100 exceeding the lesser of 4.4% or the weight of the stock with the fifth-largest market valuation. That points to at least a slight decline in TSLA stock’s weight.

The official reweightings should be released on Friday, perhaps after the close. That will also include stocks that will see increased weightings.

Which Stocks Will See Higher Nasdaq Weightings?

Starbucks (SBUX), Mondelez International (MDLZ), Booking Holdings (BKNG), Gilead Sciences (GILD), Intuitive Surgical (ISRG), Analog Devices (ADI) and Automatic Data Processing (ADP) will be bigger winners from the special rebalance, Wells Fargo analysts said Tuesday.