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September Rebalancing

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Question asked 31/07/2026

September Rebalancing

In the context of playing a short term approach for a quick 'sugar hit' by predicting the best stocks likely to enter the S&P indices - simply using AI suggests 85% chance of CYL (Catalyst Metals) and 80% chance for DVP (Develop Global) entering the ASX 200 this Sept. Do you have a view of each of these and given the substantial inflows into ETFs, how do yo view this approach of trying to make a quick 'in and out' profit to add a bit more return on my portfolio that otherwise is devised for long term income. Cheers davidO

Answer

Hi David,

In theory this makes plenty of sense but only a few weeks ago the market was humming to theories that SpaceX had to “go to the moon” because indexes/ETFs would be forced buyers, but it hasn’t played out that way:

SPCX has almost halved from its early highs and is trading ~17% below its IPO price = ouch!

I’m not sure what AI Tool you’re using but it’s a bit out of date on this one, as DVP and CYL are already in the ASX200. However, the issue with the quick “in and out profit” concept is that bots are constantly scrolling across the index looking for likely inclusions and exclusions and buying/selling accordingly.

We think it’s too hard for retail investors whereas focusing on medium term earnings levels the playing field, a far better focus to add alpha in our opinion.

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SpaceX Corp (SPCX US)

LAST UPDATED 30/07/2026 11:09

Latest Reports

Afternoon report 31/07/2026

The Match Out: ASX outperforms US to end July up +2.3%

The ASX 200 finished modestly higher today, securing a fourth consecutive monthly gain despite giving back most of an early rally. The index traded as high as 9,059 before closing just +9 pts higher (down ~85pts from the open), with strong gains across materials, selected technology names and gold miners offset by weakness in healthcare, consumer staples and communications.

Morning report 31/07/2026

ETF Friday: Four ASX ETFs making major moves in July

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