The £1.8bn company, which joined the highest-ranking blue chips in March 2010, looks set to join Lonmin and Inmarsat in leaving the FTSE 100. The three are likely to be replaced by Irish building supplies group CRH, Russian resource company Evraz, and Polymetal International.
If Investec is demoted then tracker funds will be obliged to sell off the stock and reinvest into its replacement.
Performance of stock vs indices over 1-yr
Source: FE Analytics
Our data shows it has lost 30 per cent in the past year, compared with losses of 17.5 per cent from the FTSE Specialised & Finance sector and -0.4 per cent from the FTSE 100. It has lost 20.8 per cent since joining the blue chips.
The stock only appears in one fund’s top-10 holdings: Artemis UK Smaller Companies. The MD Barnard & Co New Century AIM VCT also holds the stock.
Looking at the other end of the market, the £143.4m Ashmore Global Opportunities investment trust is due for promotion into the FTSE Small Cap index. The closed-ended vehicle, which FE has designated a Risk Score of 95, includes other funds and investment trusts in its top-10 holdings.
Performance of trust since launch vs sector
Source: FE Analytics
Our data shows the trust losing 36.4 per cent since its launch in December 2007, but it has steadily grown since the market crash in 2008.