- Enact Holdings (ACT, Financial) to join the S&P SmallCap 600 on April 16, 2025
- Replacing SolarWinds Corp (SWI) due to pending acquisition by Turn/River Capital
- Inclusion expected to enhance visibility and trading volume for Enact Holdings
Enact Holdings Inc. (NASDAQ: ACT) is scheduled to be added to the S&P SmallCap 600 index, replacing SolarWinds Corp. (NYSE: SWI) effective prior to the market opening on April 16, 2025. This adjustment coincides with the nearing completion of SolarWinds' acquisition by Turn/River Capital, pending the fulfillment of final closing conditions.
The inclusion of Enact Holdings, classified within the Financials sector, will likely generate increased visibility and trading liquidity for the company's stock. This is attributed to the purchasing pressure from passive funds tracking the S&P SmallCap 600, as these funds are required to buy Enact Holdings shares to align with index changes.
While this inclusion does not alter the fundamental operations of Enact Holdings, it is anticipated to provide structural benefits such as increased institutional ownership and expanded analyst coverage. The process reflects the index committee's confidence in Enact’s market capitalization, liquidity, and financial robustness.
Investors can expect these benefits to take effect with the index change slated for the market's opening on April 16. The move represents a strategic positioning for Enact Holdings in the financial market space, offering potential long-term advantages to shareholders.
