Major Portfolio Reshuffle: Ares Management Ascends to S&P 500 Amid Wave of Index Adjustments

Market indices are undergoing significant restructuring as multiple acquisitions catalyze a cascade of compositional changes across S&P benchmarks. Ares Management (ARES) will assume a position in the prestigious S&P 500 following the anticipated completion of Mars Inc.'s acquisition of Kellanov (K), with the transition taking effect before markets open on Thursday, December 11.

This represents just one element in a broader reshuffling that reflects the ongoing M&A activity reshaping corporate America. The changes reveal how strategic acquisitions and private equity involvement continue to drive shifts in major index compositions.

S&P 500 Transitions

Ares Management’s inclusion comes as Kellanov exits the index due to Mars Inc.'s acquisition, which remains subject to final regulatory approval and closing conditions. S&P Dow Jones Indices, operating under S&P Global (SPGI), orchestrated this transition to maintain the index’s representative integrity following the expected deal completion.

SmallCap 600 Adjustments

The restructuring extends to smaller-cap benchmarks as well. Vital Farms Inc. (VITL) is stepping into the S&P SmallCap 600, replacing Heidrick & Struggles Intl Inc. (HSII), effective prior to the opening of trading on the same day, December 11. This shift follows Advent International and Corvex Private Equity’s acquisition of Heidrick & Struggles, which is anticipated to close pending final conditions.

In a subsequent adjustment taking effect Monday, December 15, Sezzle Inc. (SEZL) will move into the S&P SmallCap 600 in place of Vital Energy Inc. (VTLE). This change reflects Crescent Energy Co.'s (CRGY) acquisition of Vital Energy, another transaction currently awaiting final closing approvals.

These index modifications underscore how acquisition activity continuously influences benchmark composition, reshaping investor exposure across market segments.