Apollo Global Management and Workday: The New S&P 500 Titans

Apollo Global Management (APO) and Workday (WDAY) are set to join the elite S&P 500 index, replacing Qorvo (QRVO) and Amentum Holdings (AMTM) respectively. This move, effective December 23, 2024, signals their significant market positions within the large-cap market space and further enhances their credibility among institutional investors.

Apollo Global Management's inclusion in the S&P 500 reflects its prominence in the alternative asset management sector, with a diversified portfolio spanning private equity, credit, and real estate investments. Its resilience and consistent performance have positioned it as a leading alternative asset manager, making it an attractive addition to the benchmark index.

Workday, an enterprise cloud applications provider, joins the S&P 500 following a string of strategic acquisitions and innovations in cloud-based software solutions. With a 12-month subscription revenue backlog of $6.98 billion (up 15.3% year-over-year), Workday demonstrates robust growth and market dominance in the tech sector.



As these companies join the S&P 500, they may attract more institutional investments, potentially boosting their stock prices. Investors should consider adding APO and WDAY to their portfolios, given their strong fundamentals and growth prospects.

The rebalancing of the S&P MidCap 400 and S&P SmallCap 600 indices also highlights notable changes. Companies like Comerica, Carpenter Technology, Terreno Realty, and Champion Homes join the indices, while Qorvo, Amentum, Hudson Pacific Properties, and REGENXBIO are removed. These changes ensure that the indices remain representative of their respective market segments and reflect the current market dynamics.



In conclusion, the inclusion of Apollo Global Management and Workday in the S&P 500 reflects their significant market positions and growth prospects. Investors should consider these opportunities and rebalance their portfolios accordingly. The rebalancing of the S&P MidCap 400 and S&P SmallCap 600 indices also presents opportunities for investors to capitalize on the potential of these companies. By thoughtfully allocating assets based on these trends, investors can capitalize on index changes while managing risks effectively.