Who Sells Shares When a Stock Leaves a Market Index?

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A change in the composition of a stock index can force funds that track it to sell shares of the removed stock. These sales result from the funds rebalancing their portfolios to continue tracking the index. This mechanism is different from an exchange delisting and from a bitcoin-holding company selling its bitcoins.

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Telemac
Telemachttp://cryptoinfo.ch
Passionné de nouvelles technologies, j’explore l’univers de la blockchain et des cryptomonnaies pour partager l’actualité et les innovations du secteur.

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