BusinessJuly 16, 2026

reconstitution

/ˌriːˌkɒnstɪˈtjuːʃən/

Definition

The annual process of updating and rebalancing a stock market index to ensure the companies included accurately represent the current market landscape.

Etymology

Derived from the Latin 're-' (again) and 'constituere' (to set up or establish). It entered English in the 17th century, originally referring to the act of forming something again or in a different way.

In the news

The word is used to describe the yearly event where the Russell 2000 Index adjusts its list of member companies. Being included in this reconstitution indicates that Energy Vault has grown to meet the criteria for being one of the largest U.S. stocks.

Energy Vault Appoints Senior Capital Markets Veteran Nitin Dahiya from BlackRock as Chief Financial Officer as its Global Energy Infrastructure Growth Accelerates

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Business Wire

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