10:23 AM EDT, 03/25/2025 (MT Newswires) -- Shopify Inc. ( SHOP ) is making moves that could allow it to enter major stock indexes, which would direct a flood of investor money into shares of the Canadian e-commerce platform, Bloomberg News is reporting Tuesday.

It noted the Ottawa-founded company is set to transfer its US-listed shares from the New York Stock Exchange to start trading on the Nasdaq Global Select Market from March 31. The move could pave the way for a spot in the tech-heavy Nasdaq 100 Index, which is designed to track the performance of the hundred largest Nasdaq-listed non-financial firms.

"Being included in that index would equate to more buying power for a stock," said Matthew Maley, Chief Market Strategist at Miller Tabak + Co, citing inflows into funds tracking the Nasdaq 100 in recent years.

Bloomberg noted Shopify ( SHOP ), which has a larger market capitalization than all but 24 Nasdaq-listed stocks, has risen 16% -- more than the broader index -- since announcing last week that it would transfer its US-listed shares to the marketplace. Even after Shopify ( SHOP ) moves to the Nasdaq, it will continue to have a dual listing on the Toronto Stock Exchange.

Size, and a listing on the exchange, are the main factors that determine whether a company is added to the Nasdaq 100, but there is no certainty on whether and when Shopify ( SHOP ) will make it in, Bloomberg said. Representatives for Nasdaq and Shopify ( SHOP ) declined to comment on the potential addition to the index.

According to Bloomberg, inclusion in benchmarks is becoming more important for companies in a world increasingly dominated by passively-managed investment funds. These products -- including mutual funds and exchange traded funds, or ETFs -- are required to buy the shares of member companies to reflect the index's composition.

Bloomberg Intelligence estimates that 21% of the shares of the average publicly-listed US stock are owned by passive funds, more than triple what it was in 2013. And products tied to the Nasdaq 100 control hundreds of billions of dollars.

(Market Chatter news is derived from conversations with market professionals globally, and/or from other media sources. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

Price: 157.60, Change: +1.05, Percent Change: +0.67