Investing.com -- Shares of Apollo Global Management (NYSE:APO) and Workday (NASDAQ:WDAY) rose Monday after it was revealed the companies are set to join the S&P 500, replacing Qorvo (NASDAQ:QRVO) and Amentum Holdings, effective before market open on December 23.
Apollo is up more than 6% ahead of the open. So far this year, it has gained over 92%. Meanwhile, Workday has risen over 9% in premarket trading. It is down 2.7% this year.
The changes coincide with the quarterly rebalancing of the S&P Dow Jones Indices, aimed at better aligning companies with their respective market capitalization ranges.
Companies being added to the S&P 500 are deemed more indicative of the large-cap market space.
Qorvo and Amentum Holdings will move to the S&P SmallCap 600, replacing Kelly Services (NASDAQ:KELYA) and Service Properties (NASDAQ:SVC) Trust.
Additional shifts include Comerica (NYSE:CMA) and Carpenter Technology (NYSE:CRS) moving from the S&P SmallCap 600 to the S&P MidCap 400, with Vishay Intertechnology (NYSE:VSH) and Carter’s heading the opposite direction.
Market reaction to such moves is typically positive for companies added to the S&P 500, often leading to increased investor demand as index-tracking funds adjust their holdings.
Apollo and Workday’s inclusion is expected to enhance their visibility and attract a broader investor base.