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The Nasdaq-100 rebalancing: an epochal change
The Nasdaq-100, one of the most followed indices in the world, recently announced a rebalancing that will see the entry of three new companies: Palantir Technologies, MicroStrategy and Axon Enterprise. This change, which will take effect on December 23, reflects the emergence of new trends in the market, in particular those related to Bitcoin and artificial intelligence. The companies that leave the index, such as Illumina and Moderna, represent an era dominated by the pandemic and genomic sciences, now surpassed by more recent technological innovations
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MicroStrategy: an emblematic case in the world of cryptocurrencies
Among the new revenues, MicroStrategy stands out for its bold investment strategy in Bitcoin. Founded in 1989, the company has transformed its business model, becoming a major player in the cryptocurrency market. With more than 423,000 Bitcoin accumulated, MicroStrategy has used capital markets to finance its purchases, making Bitcoin the core of its balance sheet. This transformation has attracted the attention of Wall Street, highlighting a growing interest in cryptocurrencies
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Palantir and Axon: innovation and security
Palantir Technologies, specialized in big data analysis, and Axon Enterprise, known for its non-lethal security devices, represent two other significant new entries. Palantir offers advanced solutions for security and data analysis, while Axon provides tools for managing police operations. Both companies are helping to redefine the technological landscape, bringing innovations that respond to current market needs
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Impact of rebalancing on ETFs
The Nasdaq-100 rebalancing will also have a significant impact on the ETFs that track the index. Funds such as the QQQ, with 325 billion dollars under management, are required to include all the shares in the index, creating structural demand for new entries. This phenomenon could lead to an increase in liquidity and a reduction in the cost of capital for the companies included, further encouraging market growth
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