RE: Unbelievable!6 Mar 2025 09:44
People get caught up on tracker funds having to buy in when a share moves from one Index to another. The fund houses will already have a position on a company in the relevant tracker, whether thats 100, 250, 350 or All share. Unless they are looking to buy more they will just juggle their percentage holding from one tracker fund to another.
They wont, for example, just invest more into a share as they have to with it now being part of the FTSE 250. They will reduce exposure in their all share tracker or 350 tracker and move it over.