Ann: S&P DJI Announces March 2024 Quarterly Rebalance, page-28

well articulated @flight11

typically big index funds (which is mum and dad investors ultimately) get screwed over . . the investment banks accumulate stock pre index inclusion . . sell to the funds on index rebalance day typically at higher price (see after market spike on asx200 day).

to differentiate their performance above standard index returns the index funds loan shares out and collect some 'rent'.

loaned shares are used to sell down stock devaluing price

now . . what typically happens is scared retail sell . . shorts cover . . return shares and what results is shorts make money . . index funds have technically outperformed the index (rent from shorts . . they dont care what share peice is so long as they mirror the index) yet really they lose money aka mums and dads and super accounts especially lose money.

what can happen now if retail and non index funds can have a backbone.

shorts MUST buy stock before returning it. if retail and non ondex funds hold strong then this will push price up.

now the golden ticket . . with DP and CH due in 3 weeks and with 'multiple' negotiations in the pipeline my wish is that we get 2 plus substantial announcements in this next 2 weeks . . so that when the index funds are 'forced' to sell there will be matching if not greater demand from retail and non index funds to buy to offset whatever supply comes to market from the index funds.

so in this later scenario
● shorters . . do not win and potential lose significantly
● index funds aka mums and dads do not get screwed.
● retail and non index funds see an appreciating price

what is needed . . retail and non index holders to hold your nerve and not let the shorts and their manipulative tactics scare you.

hold the line . .

wbt for the win.