BHP Dividend Guestimate, page-290

100 odd billion of shares transfer from London to the ASX. A large chunk of the institutional investors from London will have to dump that day. The S&P have given notice index rebalances is to occur on 31 January. This means:

1. FTSE index funds must dump
2. ASX index funds must buy (they outweigh the UK in size so should be met buying based on BHP’s preso)
3. Active fund managers, depending on their mandate investment agreement will need to dump from UK. While Australia’s will need to buy.
4. Australia is very very large in terms of fund managers simply because of our multi trillion dollar pension system. Albeit you can see sub holder noticed already buying in prep for index balancing.

No one actually knows how much needs to trade. But it could be over $10bn and based on the information I’ve seen it should be a net buying event on the ASX.