Every three months the various ASX indices are re-balanced to take into account the market capitalisation movements. S&P Dow Jones Indices announced the changes to the S&P/ASX 300 Index.
Stockmarket index changes are closely watched because companies included in them typically receive more coverage from analysts, fund managers (e.g. index funds) and Super funds.
Online retailer Kogan.Com Ltd (ASX: KGN) has been included in the S&P/ASX 300 Index despite its share price falling by about a third due to management selling some shares after delivering a large increase of profit in its FY18 result.
Imaging service business Nearmap Ltd (ASX: NEA) has also been included after delivering US growth. Other businesses making it into the S&P/ASX 300 Index are Pinnacle Investment Management Group Ltd (ASX: PNI), fintech business Praemium Ltd (ASX: PPS) and cement business Wagners Holding Company Ltd (ASX: WGN).
However, for some businesses to get into the index, some others have to be kicked out.
Some of the ones being removed include comparison site iSelect Ltd (ASX: ISU), fast food franchisor Retail Food Group Ltd (ASX: RFG), NZ TV company SKY Network Television Limited (ASX: SKT) and loan broker Mortgage Choice Limited (ASX: MOC).
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