Authorized participants [1] will buy the undervalued shares and redeem them for shares in the underlying fund for a profit. FWIW, there is no such thing as "reb

Authorized participants [1] will buy the undervalued shares and redeem them for shares in the underlying fund for a profit. FWIW, there is no such thing as "rebalancing" an ETF. The underlying fund can rebalance, but the ETF is an exchange-traded representation of the underlying fund. There's nothing in it to rebalance. [1]: https://www.etf.com/etf-education-center/7540-what-is-the-etf-creationredemption-mechanism.html?nopaging=1 https://www.etf.com/etf-education-center/7540-what-is-the-et...