Nasdaq 100 Reshuffle Adds Twist to $2.4 Trillion Options Event
- OpEx expected to spur trading volume and wild price swings
- ‘There may be fireworks,’ says Davitt at Millbank Dartmoor
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An out-of-cycle rebalance in the Nasdaq 100 is adding another layer of wrinkles to stock trading with a flood of options expiring Friday.
The special index rebalance, intended to reduce the dominance of technology megacaps, may see passive investors use the last window to bring their portfolios in line with the benchmark before the changes take effect Monday. The revamp is set to boost the presence of smaller members, with two-way transactions likely reaching $60 billion, according to an estimate by Min Moon, a strategist at JPMorgan Chase & Co.