PSE to make changes in index composition

MANILA, Philippines — The Philippine Stock Exchange Inc. (PSE) is poised to make several changes in the composition of various indices starting next week following the conduct of a regular review.

No additions or removals will be made in the composition of the 30-member Philippine Stock Exchange index as well as that of the PSE dividend yield index and the holding firms index.

Meanwhile, Edgar “Injap” Sia II’s DoubleDragon Corp. and digital entertainment company DigiPlus Interactive Corp. will be included in the PSE midcap index, while Cebu Air Inc. and Shell Pilipinas Corp. will be removed.

Rebisco-led Asia United Bank Corp. will join the financials index and Benguet Corp. will be added to the mining and oil index.

Renewable power firm Alternergy Holdings Corp., Roxas & Co. Inc. and food and beverage company RFM Corp. are set to be added to the industrial index, while Raslag Corp. will be taken out.

In the property index, the Villar Group’s VistaREIT Inc. will make its entry, while D.M. Wenceslao & Associates Inc. and Ever-Gotesco Resources and Holdings Inc. are bound to exit.

Pacific Online Systems Corp. DigiPlus and STI Education Systems Holdings Inc. are set to join the services index, while Chelsea Logistics and Infrastructure Holdings Corp. and Premiere Horizon Alliance Corp. will be kicked out.

The PSE said all changes to the PSE indices will take effect on Aug. 12.

The changes come following the results of the regular review covering trading activity for the period July 2023 to June 2024.

The PSE said the review of the composition of the indices was based on the policy on index management.

“The index review ensures that market barometers feature the most qualified stocks based on the set criteria,” PSE president and CEO Ramon Monzon said.

To qualify for sector indices inclusion, the PSE said a listed firm must be among the top companies in terms of liquidity and it should also have a free float level of at least 20 percent of its outstanding shares. 

It said relevant financial criteria as well as eligibility for early inclusion are also considered in the index review.

According to the PSE, the current PSEi members remain to be among the top stocks in terms of market capitalization, liquidity and free float level.