SpaceX is about to be included in mainstream indices: passive funds may be forced to take on high-volatility asset risks

Jinse Finance reports that as SpaceX is set to be included in several mainstream index systems, passive investors may end up holding this stock involuntarily, thereby being forced to bear a significantly increased portfolio volatility risk. Multiple index providers—including CRSP, Nasdaq, FTSE Russell, and MSCI—have already made rule adjustments to include SpaceX in major indices. Analysis notes that since SpaceX's current implied volatility is close to 120%, about three times that of Bitcoin-related ETFs (such as IBIT), it will become one of the most volatile components within the S&P 500 and Nasdaq 100. Industry insiders believe that once large ETFs (such as Vanguard Growth Index Fund) passively include SpaceX exposure, it will significantly raise overall index volatility and spark debate over “passive investors passively bearing high-risk assets.”