SP New Energy [SPNEC 1.06, down 6.2%; 150% avgVol] [pdf link] fell more than 6% yesterday as traders digested the MSCI Global Small Cap review results that indicated SPNEC would be deleted from the index, effective June 3. Cebu Pacific [CEB 29.50, down 1.8%; 113% avgVol] is also scheduled for deletion from the index, while ACEN [ACEN 5.00, up 9.4%; 478% avgVol] was selected for inclusion. Aboitiz Equity Ventures [AEV 37.00, down 3.5%; 458% avgVol] was deleted from the MSCI Global Standard index.
MB bottom-line: While the majority of people that I know don’t specifically trade index rebalancings, we are all impacted by these additions and deletions to some degree or another, so I think it’s important to flag when these rebalancings happen to make the markets seem just a little less random. For those unfamiliar, if you consider all the potential buyers of PSE stocks as just one room of buyers in the global “building” of potential buyers, getting added to an index is almost like getting credentials to access an entirely new room of potential buyers. Adding new buyers to the mix will drive up the stock price since the number of outstanding shares has not changed, only the number of interested buyers. That’s what is often referred to as “inflow”. Conversely, losing those new buyers will cause a drop in the price as due to the selling pressure from their need to exit their positions in anticipation of the stock losing its “credential” to access the room. That’s “outflow”. I know it’s a goofy analogy, but it can help new traders gain familiarity with all this talk of “inflows” and “outflows” around rebalancing moves.
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MANILA, Philippines — The Commission on Elections has unanimously decided not to allow candidate substitution bas ed on withdrawal after the weeklong filing of certificate of candidacy (COC), Comelec officials said yesterday.
“Candidates, lay your cards on the table. Be up front about your candidacy and there will be no more changes,” Comel ec Chairman George Garcia said. “If you’re really decided, then lay it out at once. File your candidacy.”
At the Bagong Pilipinas public briefing yesterday, Comelec spokesman Rex Laudiangco said the commission has set from Oct. 1 to 8 the filing of COC for those running in the 2025 midterm elections.
At the same time, groups participating in the party-list el ections may also file a Certificate of Nomination and Acceptance.
Laudiangco said the Comelec would allow filing of withdrawal and substitution only from Oct. 1 to 8. “If a candidate with a political party will withdraw from Oct. 9 onwards, it will no longer be allowed to substitute other candidate,” he noted in Filipino.
Garcia said the commission will only allow substitution of candidate on grounds of death or disqualification.
He said the substitute candidate must have the same surname as the one replaced and must belong to the same political party.
The official list of those running will be released early, according to the Comelec, to give voters enough time to screen them and file disqualification complaints if necessary.
Soon after the end of COC filing, Lau diangco said the Comelec will post the certified list of candidates in all the poll body’s offices.
“For what purpose? To show the public that these people have filed COC and so the evaluation and research into their persons can start if they deserve our vote or not,” he stressed.
Since it’s an automated election, Laudiangco said the list of candidates will also be posted on Comelec’s website for the public to see and thoroughly look into the identities of the aspirants.
“In order to see who are the candidates and those who want to file cancellation of COC, disqualification, nuisance can file at the correct Comelec office,” he added.
Laudiangco said the commission will also allow electronic filing of petitions for disqualification or cancellation of COC so that complaints can be resolved quicker.
He said the commission wants all pending disqualification cases to have been resolved and nuisance candidates removed before the printing of ballots.
Despite the absence of an enabling law, the Comelec is pushing through with the planned internet voting in the May 2025 elections for Filipino voters abroad.
Garcia reported yesterday that the commissioners decided against the cancellation of the planned internet voting.
“We weighed the implications, all the possibilities, and we saw the need to proceed with the internet voting although it’s not in the law because no one is questioning it anyway before the Supreme Court,” Garcia told reporters.
“We felt the consequences would be heavier if we canceled internet voting, which is presently being expected by our countrymen abroad,” the chairman added.
Senate Minority Leader Aquilino Pimentel III previously expressed his reservations over the use of internet voting in the 2025 midterm elections.