RE:RE:RE:GDXJ rebalancingIf Italian's info is accurate, any Van Eck re-balance by 3rd week in June. I looked through the relative % of GDX vs market cap, and it doesn't look like KL can grow enough to absorb all the GDXJ shares, without getting way too big within GDX. If Van Eck actually does try to ratio the holdings in the various miners by market cap, KL within GDX is currently slightly small (about 2.5% small). However, there is way, way too many shares of KL, within GDXJ, to put into GDX. There is $174M worth of KL in GDX (again, there 'should' be 2.5% more if we ratio by market cap). However, there is $245M worth of KL in GDXJ; so, way more than needed to re-balance KL within GDX.
So, does Van Eck plan to completely remove KL from the GDXJ? My vague recollection is that Van Eck does; in which case ProudItalian is most-likely correct - big drop coming. However, that's just my vague memory - not anything I know definitively in any way, shape or form.
Does anyone know for sure whether or not Van Eck will remove KL completely from the GDXJ, this cycle? My recollection was the rationale was KL's market cap was over some limit, but I don't remember much else, nor why it would be suddenly tripped. Will do some looking.