FTSE movers and shakers

Schroder Asia Pacific and property development and investment company Helical Bar are likely to be relegated from the FTSE 250 to the Small Cap at the FTSE annual review today, according to Numis Securities.

The stockbroker also predicts the trusts’ places in the index will be taken by coal and coking business New World Resources and digital media company Perform Group.

"The calculation of the cut-off between the Small Cap Index and the Fledgling Index, which is not part of the FTSE All Share, has been changed at this annual review," said Ewan Lovett-Turner, associate director of investment companies research at Numis.

He added: "To be promoted to the All Share, companies must have a full market cap of greater than 0.15 per cent of the full market cap of the FTSE Small Cap (£69.9m), whilst companies whose full market cap is less than 0.10 per cent of the FTSE Small Cap (£46.6m) will be relegated from the All Share."

Numis also predicts that new entries to the All Share will be NB Global Floating Rate Income, EP Global Opportunities, and BlackRock Frontiers, among others.

Elsewhere, Winterflood Securities says Dunedin Smaller Companies and RCM Technology Trust are probable candidates for upgrade into the FTSE Small Cap index.

James Brown, investment trust analyst at Winterflood has also included JPMorgan European IT – Income as a promotion candidate.

"This investment trust has previously failed the liquidity test, but having now passed, should enter the FTSE Small Cap on the basis of being an eligible secondary line. The fund’s other share class, JPMorgan European IT – Growth is already a member of the FTSE Small Cap," he explained.

There are more promotions/relegations at the annual review than at the quarterly review, as the bands are tighter and companies need to pass the liquidity test.

At this year’s quarterly reviews in September, December and March, the market size thresholds for additions and deletions will be widened to greater than 0.20 per cent and less than 0.05 per cent respectively.