So London homicide rate is 1.1 per 100k? That's substantially lower than New Hampshire, Maine, and Idaho, which have the lowest homicide rates in the US.
I get 1G (in the US) and am in a similar boat - I could pay for 8G, and my house is even wired for 10G. But..... all my network equipment is 1G, we rarely saturate it, and I don't want to shell out like a thousand dollars to replace my router, three managed switches, and three AP.
Actually $1k might not even do it all, but I could probably get the switches and router for just under $1k and leave the WiFi at 1G.
I suspect my 1G costs a bit more than yours though
Does that article say that? I didn't see "4.5xm" mentioned anywhere. Also jow does QQQ do float adjusting? Will it do the same 5x that we're hearing nasdaq is going to do? (Which would make it what, <1%?). Or something else?
QQQ is the same as Nasdaq, for this meaning of Nasdaq.
The article isn't a great source, agreed. But it does give this calculation:
> Oddly enough, had SpaceX entered the Nasdaq-100 with a market capitalization of $1.75 trillion on Friday, March 27 [assuming the new rules (?)], it would have supplanted Tesla as the fifth-largest holding in the benchmark. The electric vehicle stock accounts for 3.8% of the Invesco ETFs.
So it would come in somewhere above 3.8%, by those calculations. And it depends on market prices from day to day. Not much changes about the argument above if you make it 3% or 6%, holding constant the assumption that it's 30% overvalued.
I was mostly confused because the article made 0 mention of the float adjustment or the changes to nasdaq float adjusting that is proposed (5x float, which would still put SpaceX at <20% of its market cap, or <1% of the index, no?)
It is just not addressed at all in the article, which makes it seem like they're assuming it's 100% of market cap.
AFAIK the problem is that they're lobbying the nasdaq 100 index provider to add a 5x multiplier for free float for spacex. Otherwise it would be far less controversial.
The float adjustment probably handles this for you? The tiny amount of float of that $1.75T means that for any large total market or s&p or whatever fund (VTI, SPY, etc), SpaceX is going to be a minuscule fraction of the fund.
Apple has a float of >99%. SpaceX is going to come out with 3-4% float. Since all big serious total market / whatever index funds are float adjusted, this means that SpaceX will be treated more like a company with $45B market cap, not $1.5T or whatever.
If you're buying most index funds, you should literally not care about this.
If you buy VTI, then SpaceX is going to be like what, <0.1% of the fund? That is noise.
I am not smart with stock legal-ese but I pasting something I found in a different article here.
> To balance index integrity and investability, Nasdaq proposes a new approach for including and weighting low-float securities (those below 20% free float). Each low-float security’s weight will be adjusted to five times its free float percentage, capped at 100%. Securities with more than 20% free float will continue to be weighted at full, eligible listed market capitalization, while those below 20% free float will be weighted proportionally to preserve investability.
> The rule reportedly includes a 5x float multiplier for low-float stocks, which would require passive vehicles to treat SpaceX as if it had significantly more tradable shares than actually exist, essentially forcing funds to chase the price.
It sounds to me like a way to increase demand for low float stocks by treating the float higher than it actually is. Glad to hear the explanations about this.
> If you're buying most index funds, you should literally not care about this.
Disagree. Buyers of index funds should care about fiduciary and waste. This is what this seems like at this price. Granted, I’d be more concerned if the fund manager was buying it without a requirement to. The issue still remains about why are we paying so much for this stock? Make it make sense?
>Buyers of index funds should care about fiduciary and waste. This is what this seems like at this price.
Right, but the whole point of index funds is that you're letting the market decide what's worth investing/buying (via market cap/free float weightings) and at what price. If you're making calls on what's "waste" or not, then you're no longer a passive investor and you're just picking stocks.
Fiduciary responsibility in this context is a large umbrella of responsibilities. They should be fighting the new nasdaq rules on behalf of us. As you mentioned, this forces them to participate in fleecing the passive fund holding public and undermines the whole point of index funds. I don’t see how a fund manager could just blindly take this rule change and not make a ruckus about how it’s forcing him to break their fiduciary obligations
Following the rules of the fund and being index is one thing. Sitting silently as this pump and dump is designed to fleece your clients, is something entirely different.
> Starting May 1, 2026, Nasdaq rules allow large IPOs (e.g., top 40 market cap) to join the Nasdaq-100 Index within 15 trading days. This forces index-tracking funds to buy new shares, often at inflated valuations shortly after listing, a "fast entry" rule designed for mega-IPOs like SpaceX or OpenAI
1. are your finances going to be screwed from overpaying for SpaceX IPO shares through your index fund? No because as you say, it's a small fraction of typical index funds.
2. Is this a form of financial malfeasance? I think yes. The average 401k has about $150k in it. Even if just 0.5% goes to SpaceX, that's $750 per American. That's a few hundred billion. It's serious cash. If that's going to overpaying Elon 3x or whatever it is for these shares, that's a travesty. Even if for each individual it's a tiny blip that doesn't show up in the annual ROI graphs, it's a form of corruption. Like the programmer infamous Salami slicing stories at banks.
If the SpaceX IPO is wildly overpriced, even if you have just 300k in your account, yo
They are, but SpaceX is trying to get rules changed. They want the index to buy at a multiple of the float, so they release say 5% but get bought as if they had released 15% float. They also normally wouldn't be eligible for index inclusion for ~1 year, after showing multiple quarters of good stewardship, etc. They're trying to bypass all that
I don't know about the funds, but it's really about the index. Both for the index funds that use the index, and the active mutual funds and index funds benchmark to that index.
Distracting from actual stories like DARPA's lifelog program ending the same day Mark Zuckerberg announces Facebook to the world, with dumb videos from the onion, is really doing the world a great service.
reply