SpaceX is joining the Nasdaq 100. Here’s what to know | CNN Business

SpaceX is set to officially join the Nasdaq 100 index on Tuesday, giving investors new exposure to the stock while triggering billions of dollars in automatic purchases by index funds. SpaceX’s inclusion in the Nasdaq 100 marks a new chapter in the stock’s closely watched post-IPO journey. The index is one of the world’s most widely followed technology benchmarks, and also underpins hundreds of funds and investment products designed to track its performance. There are over 200 investment products with $800 billion in assets that track the Nasdaq 100. Funds that track the index have to buy SpaceX in order to continue mirroring its performance. That means investors who hold Nasdaq 100-related funds will automatically gain exposure to SpaceX. Recent changes to index methodologies to accommodate mega-sized initial public offerings have enabled SpaceX shares to be fast-tracked into different stock market indexes. SpaceX has already joined benchmark indexes offered by FTSE Russell and MSCI, two other major index providers. Meanwhile, S&P Dow Jones Indices did not change its methodology rules, so SpaceX will not be eligible to join the S&P 500 for at least a year. The Nasdaq 100 is