On December 13, 2024, Nasdaq announced the annual updates to the Nasdaq-100 Index, set to take effect before trading starts on December 23, 2024. This reconstitution will see Palantir Technologies, MicroStrategy, and Axon Enterprise added to the index, which includes the largest non-financial firms listed on the Nasdaq Stock Market. Meanwhile, Illumina, Super Micro Computer, and Moderna will be removed. The Nasdaq-100 Index serves as a key benchmark for financial products and is the basis for the Invesco QQQ Trust, which aims to replicate its performance. Nasdaq continues to innovate and provide diverse investment opportunities in the Market.
Nasdaq Announces Annual Reconstitution of the Nasdaq-100 Index
In an exciting update from the financial world, Nasdaq has revealed the results of the annual reconstitution of the Nasdaq-100 Index. Effective before the Market opens on December 23, 2024, three new companies will be joining this prestigious index: Palantir Technologies Inc., MicroStrategy Incorporated, and Axon Enterprise, Inc.
The Nasdaq-100 Index is a key benchmark comprising 100 of the largest non-financial companies listed on The Nasdaq Stock Market. This index, which has been around since 1985, plays a significant role in shaping investment strategies and is the foundation for various financial products, including the well-known Invesco QQQ Trust.
As part of this year’s changes, Illumina, Super Micro Computer, and Moderna will be removed from the index. This reconstitution occurs every December to coincide with the expiration of various financial contracts, known as quadruple witching.
Investors and analysts alike closely monitor these changes, as they reflect the dynamic nature of the Market and the performance of leading technology and growth firms. The inclusion of companies like Palantir and MicroStrategy highlights the ongoing interest in data analytics and cryptocurrencies.
For more details about the newly added companies, you can visit their respective websites:
– Palantir Technologies: www.palantir.com
– MicroStrategy: www.microstrategy.com
– Axon Enterprise: www.axon.com
Stay tuned for further updates and insights from Nasdaq as they continue to innovate and lead in the global financial landscape.
Tags: Nasdaq, Nasdaq-100 Index, financial news, stock Market, Palantir, MicroStrategy, Axon Enterprise, investment trends
What is the Nasdaq-100 Index?
The Nasdaq-100 Index is a stock Market index that includes 100 of the largest non-financial companies listed on the Nasdaq stock exchange. This index is often seen as a benchmark for technology and growth stocks.
How often does the Nasdaq-100 Index change?
The Nasdaq-100 Index usually undergoes annual changes, but it can also be updated more frequently. Changes mainly happen in December, but companies can be added or removed throughout the year if needed.
How are companies chosen for the Nasdaq-100 Index?
Companies are chosen based on their Market capitalization, liquidity, and industry representation. The selection is done by a committee that evaluates several factors, including company performance and growth potential.
What happens when a company is removed from the Nasdaq-100 Index?
When a company is removed, it is typically replaced by another company that meets the criteria. This keeps the index focused on the largest and most successful companies in the tech sector.
Why is the Nasdaq-100 Index important for investors?
The Nasdaq-100 Index is important because it gives investors a way to track the performance of major tech companies. Many investors use it to make informed decisions about investing in stocks, funds, or exchange-traded funds (ETFs) that focus on this index.
