Man Group to exit UK blue chip index - FTSE
LONDON, June 6
LONDON, June 6 (Reuters) - Hedge fund manager Man Group will be demoted from Britain's FTSE 100 index following the latest quarterly review, with Babcock International promoted from the midcaps, index provider FTSE said on Wednesday.
Man Group shares have nearly halved in value since the last FTSE review in March, as clients withdrew money from the group's funds as markets were roiled by the euro zone debt crisis.
Shares in defence services firm Babcock have gained nearly 15 percent over that same period, boosted by expectations that government austerity policies will benefit the company, which owns the Devonport dockyard where British navy submarines are maintained.
Companies outside the FTSE 100 that grow to rank among the 90 largest by market capitalisation are automatically promoted into the blue chip index, while the FTSE 100 firms with the lowest value or that fall to 111th spot or below drop into the FTSE Midcap 250 index.
Man Group shares were in 156th place, while those of Babcock were at 83rd place, based on market capitalisation data for the close on Friday, June 1, according to Thomson Reuters Starmine data.