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I don't care about being forced to own SpaceX if it's in the index, I do care about it being forced into the index before it's had a chance to settle, so that private investors can dump on me.

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But that wasn't going to happen with the S&P 500, the proposal was to reduce inclusion time from 12 months to 6 months, and this did not pass. 6 months is more than enough time for price discovery to occur.

And even if it was added to the index immediately after IPO, index weighting in S&P is float weighted, SpaceX at IPO will have minimal float, and SpaceX would be ~0.125% of the index at IPO. Not much to matter.

That ".125% is not much to matter" argument also cuts the other way, against the Matt Levine argument that the S&P is excluding trillion dollar companies and should adjust the rules for them.

Should S&P really adjust the rules for such a small portion of the index?

Yes, because that number increases to 1-2% of the index after the IPO lockup period ends.

There are three IPOs coming this year that meet this criteria.

Then it seems pretty disingenuous to keep arguing it's only 0.125% so it's not a big deal

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