Seven stocks qualified to join S&P/TSX composite index

The S&P/TSX composite index could welcome as many as seven new members and say goodbye to another when Standard & Poor’s announces its quarterly rebalancing of the Canada’s benchmark index after the close on Sept 17.

Genworth Canada MI Inc., Nevsun Resources Ltd., Allied Properties Real Estate Investment Trust, Anatolia Minerals Development Limited, OceanaGold Corp., Artis Real Estate Investment Trust and Calfrac Well Services Ltd. are the securities most likely to be added to the S&P/TSX composite index, according to UBS strategist Garry Cooper.

Mr. Cooper noted that each of these seven names have satisfied the criteria for inclusion, while Sears Canada Inc. looks vulnerable to deletion.

The strategist doesn’t anticipate any changes in the S&P/TSX 60 index, but said Crescent Point Energy Corp. is the largest liquid name on his list of eligible replacements. Silver Wheaton Corp. is also a possible replacement candidate given that the materials sector is currently the most underweight.