So its currently estimated that 2.2 million shares may need to be purchased by index trackers. That is 2.5% of TRA shares on issue, or about 72 normal trading days (rolling last 12 month daily average volume is about 30,599 per session).
Daily volume has increased, on the back of good financial performance & releases, but no doubt traders taking early positions. Last 40 trading session average volume is ~47,800, an excess of 17.2k extra per day over those 40 sessions. That is a touch more additional volume than other recent index inclusion experiences at the same trading day before inclusion. That's about 688k excess volume over that period but clearly not all of it will be on account of people buying to on sell to index funds (or potentially index trackers buying via warehousing agents but I wouldn't have thought that process would occur until after the formal announcement).
I'd imagine index funds once the announcement is made will sound out institutional trading desks looking to source large blocks of shares. They could potentially contract up early after the announcement to acquire a set number of shares in the closing process on the eve of inclusion at some prevailing VWAP leading to the close, and also buying on market to fill up the cracks in the intervening period. Then of course there is a hell of a lot of trading amongst traders/investors piggy backing off the momentum.
Either way there is a lot of volume to be traded from next Monday to the 15th of December.
Will be fun to watch and see how it compares to other inclusions, and of course participate in for those inclined!
Gentrack really going hard - my how that one has flown...[/QUOTE
https://www.spglobal.com/spdji/en/me...nts/#indexNews
It will show here ...NZX announcement will be first to show ...dated 1st Dec 2023 ...but dont know the exact time ...surely after market close ...comes from Sydney office if last announcement is the cue .
Yes ..will be fun ...hopefully it will do better then HLG as its on UPTREND on fundamental basis also unlike HLG at that time ...just like GTK ...results were great and that leading to bigger inclusion pop ...I reckon