| LONDON, March 2
LONDON, March 2 Outsourcing company Capita
and phone retailer Dixons Carphone will leave
Britain's blue-chip FTSE 100 share index following index
provider FTSE Russell's quarterly review.
Mid-cap investment trust Scottish Mortgage and pest
control company Rentokil Initial would be promoted to
the index of Britain's biggest companies, FTSE Russell said in a
statement late on Wednesday.
The changes to constituents will be applied after market
close on March 17 and come into force the following trading day,
Following steep declines in their share prices, Capita and
Dixons Carphone are currently the smallest, by market value, on
the index. They will join the FTSE mid-cap index.
Capita first entered the FTSE 100 in 2000, but was in the
mid-cap index from 2003 to 2004.
For the British blue-chip index, companies which fall to
111th or lower in a ranking by market values on the review date
could be deleted to be replaced by the largest non-constituents.
The increasing popularity of exchange-traded funds (ETFs)
has lent greater importance to the constitution of major
benchmark indexes and led to index rebalancing days becoming
among the busiest across major markets as ETFs tweak holdings to
match the index they track.
(Reporting by Helen Reid, Editing by Atul Prakash)