SpaceX Won't Get Early Access To The S&P 500
Your pension plan may not be forced to buy SpaceX stock after all. (
With SpaceX about to go public shortly at a gobsmacking valuation, the Nasdaq 100 and other indexes recently relaxed their rules to allow Elon Musk's company to join early. That caused some consternation because huge funds often invest in ETFs (exchange traded funds) based on those indexes. That in turn means that people could end up with SpaceX stock in their pension funds, for instance, whether they want it or not.
However, the largest index in the world, the S&P 500, just announcedthat it won't relax its rules for so-called MegaCap companies to let them in early. As a result, SpaceX will have to wait at least 12 months before being considered for addition to the index. What's more, firms must be profitable over a period of their four most recent quarters for inclusion. That...
Copyright of this story solely belongs to engadget.com. To see the full text click HERE
