SpaceX Unlikely to Secure Early S&P 500 Entry After Index Rule Review

MT Newswires Live18:20

SpaceX is unlikely to secure a quick entry into the S&P 500 after S&P Dow Jones Indices opted to retain existing eligibility requirements following its review of potential accommodations for megacap companies, Reuters reported Friday.

S&P Dow Jones Indices said Thursday that it will not change eligibility requirements for the S&P 500, S&P MidCap 400, and S&P SmallCap 600 following a consultation on the treatment of megacap companies.

The index provider said it rejected proposals to ease IPO seasoning, float, and profitability requirements for megacap companies, leaving existing index eligibility rules unchanged.

However, S&P Dow Jones approved changes for broader market indexes, allowing some companies with an investable weight factor below 0.10 to qualify if they meet a minimum float-adjusted market-capitalization threshold.

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