Abrdn set for FTSE 100 ejection as F&C Investment Trust eyes promotion

With moves for NextEnergy Solar Fund and Warehouse Reit also on the cards

Paul Niven BMO Global Asset Management


The quarterly rebalance of the FTSE UK Index Series looks set to herald a handful of changes, including the demotion of Abrdn from the FTSE 100.

The update is an indicator only, and any changes will be determined by their respective closing positions on 30 August.

Expected departures from the FTSE 100 are Abrdn and Hikma Pharmaceuticals, which produces a range of medicines; among them are treatments for cardiovascular conditions, diabetes and pain management.

Abrdn shares are down over 40%, year-to-date, trading at £1.48. Over the past five years they have fallen 70% from £5.05. Prior to the 2017 merger with Standard Life, Abrdn shares commanded a maximum price of £5.71 in May 2015.

The asset manager reported a loss of £320m in the first six months of the year and has taken the decision to shutter a number of strategies in recent months; including its Eastern European, ASI Emerging Markets Bond and ASI Short Duration Credit funds. It is also reportedly in talks to offloads its private equity arm.

Lined up to take their respective places in the FTSE 100 are colostomy bag manufacturer ConvaTec Group and F&C Investment Trust.

F&C is the world’s oldest investment trust, dating back to 1868. Year-to-date, its share price is down 5.4% at £8.95, having recovered from a 2022 low of £7.70 in mid-June. Over five years, F&C’s share price is up 46%.

This is not the first time the team at F&C, led by Paul Niven (pictured), has looked ripe for the ascendency, with Portfolio Adviser reporting in May that promotion to the FTSE 100 was on the cards. It failed to materialise, however, underscoring the indicative-only nature of these FTSE Russell updates.

See also: F&C Investment Trust boosts cash levels sixfold as volatility ramps up

Rotation of names

If the above predictions prove accurate, joining Abrdn and Hikma Pharmaceuticals on the FTSE 250 will be NextEnergy Solar Fund, PureTech Health, media solution firm Videndum (previously known as Vitec) and Warehouse Reit.

Dropping out of the FTSE 250 are convenience foods producer Greencore Group, specialist lender Provident Financial, window and door components manufacturer Tyman and XP Power, a provider of power solutions.


Latest Stories