Y’all, we need to talk about upcoming #IPOs, and the insane rule changes that #nasdaq has just announced.
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Y’all, we need to talk about upcoming #IPOs, and the insane rule changes that #nasdaq has just announced.
Nasdaq rewrote its #index inclusion rules to accommodate #SpaceX’s mega-IPO, implementing a "Fast Entry" provision that allows the company to join the Nasdaq-100 index just 15 trading days after its initial public offering, down from the standard three-month seasoning period.
They also eliminated the minimum float requirement of 20% available public shares and instead stocks with less than 20% of shares publicly traded, Nasdaq applies a 3x multiplier to the free-float for index weighting purposes, artificially inflating low-float giants like SpaceX in passive funds.
Ok, but in English? #SpaceX, #OpenAI and #Anthropic have just figured out a scam to force every passive #IRA, #401k, and index fund to buy their stock before pricing evaluation.
They’ve figured out how to steal your #retirement.
#AI #LLM #Scam #guillotines #YouWillOwnNothing
What the SpaceX IPO means for markets
SpaceX's IPO filing has arrived. Elon Musk's rocket company is set to reshape the market when it goes public, with impacts at the index level and beyond.
Business Insider (www.businessinsider.com)
@MissConstrue corruption like this is what pushed me toward international stock and bond funds along with XMAG.
But the way things are going, it may be time to reconsider individual stocks again... Tired of the dual class shares, the corrupt, self-serving oligarchs, the impotent FTC, I could go on...
What the US needs at this point is a Lina Khan-T800 hybrid....
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@violetmadder @RaymondPierreL3 @MissConstrue A significant portion of Iran, Lebanon and Palestine would disagree with you. Not to mention Ukraine and all the wars we never hear about because there aren’t any white people involved.
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@shredder7579 Qualify: I’m not a financial advisor, but as I understand it, passive index is forced to buy shares in any stock listed in the 100.
That’s why changing the rules to allow a company that will be 95% privately held to be jammed into every index portfolio is a massive risk to the entire market.
Spacex ipo is coming in a valuation that exceed all other military contractors combined. A bigger cap that all of coke, Pepsi, frito, nestle, et al, combined.
The SpaceX IPO is expected to be the largest in history, with a targeted valuation between $1.75 trillion and $2 trillion, placing it among the world’s top 10 most valuable companies by market cap. At a $1.75 trillion valuation, SpaceX would rank 8th globally, surpassing companies like Meta, Tesla, and Broadcom, and exceeding Saudi Aramco’s $1.7 trillion IPO in 2019.
For a company valued at 1000x earnings. A company that has never made a profit. It’s bugfuck insane. It’s pure grift.
@MissConstrue @shredder7579
Ah, I remember back before, to a simpler time when I never understood why the French used those guillotines. -
Y’all, we need to talk about upcoming #IPOs, and the insane rule changes that #nasdaq has just announced.
Nasdaq rewrote its #index inclusion rules to accommodate #SpaceX’s mega-IPO, implementing a "Fast Entry" provision that allows the company to join the Nasdaq-100 index just 15 trading days after its initial public offering, down from the standard three-month seasoning period.
They also eliminated the minimum float requirement of 20% available public shares and instead stocks with less than 20% of shares publicly traded, Nasdaq applies a 3x multiplier to the free-float for index weighting purposes, artificially inflating low-float giants like SpaceX in passive funds.
Ok, but in English? #SpaceX, #OpenAI and #Anthropic have just figured out a scam to force every passive #IRA, #401k, and index fund to buy their stock before pricing evaluation.
They’ve figured out how to steal your #retirement.
#AI #LLM #Scam #guillotines #YouWillOwnNothing
What the SpaceX IPO means for markets
SpaceX's IPO filing has arrived. Elon Musk's rocket company is set to reshape the market when it goes public, with impacts at the index level and beyond.
Business Insider (www.businessinsider.com)
@MissConstrue Eh, closer to the bone to say forcing you to invest your retirement on risky financial gambles.
...But there is an answer. You call up your broker and specify you don't want your stock portfolio invested in specified companies, individually or by index fund. Enough people do that? Suddenly the next big reserve of wealth they're depending on to unnaturally value their inflated stocks goes bye bye.
It's not theft so much as an attempt to forestall the bubble pop.
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Y’all, we need to talk about upcoming #IPOs, and the insane rule changes that #nasdaq has just announced.
Nasdaq rewrote its #index inclusion rules to accommodate #SpaceX’s mega-IPO, implementing a "Fast Entry" provision that allows the company to join the Nasdaq-100 index just 15 trading days after its initial public offering, down from the standard three-month seasoning period.
They also eliminated the minimum float requirement of 20% available public shares and instead stocks with less than 20% of shares publicly traded, Nasdaq applies a 3x multiplier to the free-float for index weighting purposes, artificially inflating low-float giants like SpaceX in passive funds.
Ok, but in English? #SpaceX, #OpenAI and #Anthropic have just figured out a scam to force every passive #IRA, #401k, and index fund to buy their stock before pricing evaluation.
They’ve figured out how to steal your #retirement.
#AI #LLM #Scam #guillotines #YouWillOwnNothing
What the SpaceX IPO means for markets
SpaceX's IPO filing has arrived. Elon Musk's rocket company is set to reshape the market when it goes public, with impacts at the index level and beyond.
Business Insider (www.businessinsider.com)
@MissConstrue If people DON'T start pushing back hard, just between the irrational & astronomical over-valuated crypto & AI bubble bubble pop will suddenly become a fiscal black hole dropping a healthy percentage of total WORLD GDP down a gravity well. The resultant depression will be unparalleled in magnitude, depth, reach, and length. The only people making money will be those who track down & publish the location of cheerleaders & ringleaders for an angry mob to tear apart barehanded.
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@MissConstrue Worth noting that not all indexes track the S&P 500, VT tracks the FTSE Global All Cap Index, while VTI tracks the CRSP US Total Market Index.
I am not a financial expert but surely this only affects funds indexed against the NASDAQ specifically?
@fd93 It might be contained to nasdaq, but the other exchanges have made noises about doing the same, because billionaires have gravity in the financial world.
I wanna say the article I linked mentioned it, if not it was bloomberg or wsj.
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@MissConstrue If people DON'T start pushing back hard, just between the irrational & astronomical over-valuated crypto & AI bubble bubble pop will suddenly become a fiscal black hole dropping a healthy percentage of total WORLD GDP down a gravity well. The resultant depression will be unparalleled in magnitude, depth, reach, and length. The only people making money will be those who track down & publish the location of cheerleaders & ringleaders for an angry mob to tear apart barehanded.
@Beggarmidas Ok, now I want to get the Yes Men to create a pitch deck for that app to present to a vulture capital incubator.
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@fd93 It might be contained to nasdaq, but the other exchanges have made noises about doing the same, because billionaires have gravity in the financial world.
I wanna say the article I linked mentioned it, if not it was bloomberg or wsj.
@MissConstrue Seems FTSE is 'considering' it but hasn't yet made a rule change. As they would fall under the UK regulator - which operates rather differently to US regulators - who knows what they'll do. Most likely they would be less bullish than the NASDAQ in any case.
US Market | FTSE Russell proposes rule tweaks to capture blockbuster IPO wave
FTSE Russell is considering fast-entry rules for IPOs as the US gears up for a blockbuster listing cycle in 2026. With anticipated debuts from giants like SpaceX, OpenAI and Anthropic, index providers are revising float and voting-rights criteria to ensure major newcomers are swiftly reflected in benchmark indexes.
The Economic Times (economictimes.indiatimes.com)
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@MissConstrue Eh, closer to the bone to say forcing you to invest your retirement on risky financial gambles.
...But there is an answer. You call up your broker and specify you don't want your stock portfolio invested in specified companies, individually or by index fund. Enough people do that? Suddenly the next big reserve of wealth they're depending on to unnaturally value their inflated stocks goes bye bye.
It's not theft so much as an attempt to forestall the bubble pop.
Yes...and no. employees rarely have that kind of autonomy about their 401ks. Also, the laws around index funds are tricky, and excluding a single stock might run into regulatory issues.
It's all prospectus. If the fund "tracks an index", then it has to buy in proportional percentages everything in that index. And with companies like amazon and alphabet overweight, it means indexes hold more.
These IPOS are coming in bigger than anything has ever come in before, including the Saudi Aramco IPO...and Aramco actually produces profit.
So, short answer; any prospectus which covers broad index cannot avoid a singular stock, as I understand it.
I am not an expert.
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Y’all, we need to talk about upcoming #IPOs, and the insane rule changes that #nasdaq has just announced.
Nasdaq rewrote its #index inclusion rules to accommodate #SpaceX’s mega-IPO, implementing a "Fast Entry" provision that allows the company to join the Nasdaq-100 index just 15 trading days after its initial public offering, down from the standard three-month seasoning period.
They also eliminated the minimum float requirement of 20% available public shares and instead stocks with less than 20% of shares publicly traded, Nasdaq applies a 3x multiplier to the free-float for index weighting purposes, artificially inflating low-float giants like SpaceX in passive funds.
Ok, but in English? #SpaceX, #OpenAI and #Anthropic have just figured out a scam to force every passive #IRA, #401k, and index fund to buy their stock before pricing evaluation.
They’ve figured out how to steal your #retirement.
#AI #LLM #Scam #guillotines #YouWillOwnNothing
What the SpaceX IPO means for markets
SpaceX's IPO filing has arrived. Elon Musk's rocket company is set to reshape the market when it goes public, with impacts at the index level and beyond.
Business Insider (www.businessinsider.com)
@MissConstrue Almost makes me glad I spent mine already.
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@MissConstrue what a quaint idea, retirement.
@Netraven Yeah...indoctrination, what can you do? It's wild to me that my grandparents were younger than I am now when they retired.
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@Netraven Yeah...indoctrination, what can you do? It's wild to me that my grandparents were younger than I am now when they retired.
@MissConstrue I barely had parents, let alone grandparents.
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@MissConstrue I have no control over my 401k because the company that bought out my former company has completely screwed up everything regarding the transfer of our accounts from Principal to the new fund. It's been 7 months.
I have no idea how to protect my account from this kind of criminal activity@BLTpizza Yeah, unfortunately, there is often no autonomy in 401ks. Re the missing transfer though? I might check my local bar association and ask for a free consultation with an employment attorney. I'm almost positive that's not allowed.
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I think one of the USAs most important but unspoken problems is the entire Financial industry. There’s nothing there that adds actual value for everyday people.
I’d be perfectly fine with that entire system burning to the ground and never being rebuilt. It’s a creation of, by, and for the lazy rich. It doesn’t help anyone who isn’t rich.
Wreck it all.
@troy_frizzell Unfortunately, thanks to the Reaganites and Republicans, EVERYBODY who has a retirement plan in the United States is funding this private equity grab.
The GOP and the neoliberals masquerading as the Left gave us 401ks and IRAs. Both of which are deeply, irretrievably, connected to the the financial markets.
Every teacher, firefighter, union worker...they've all paid into this slush fund the billionaires are about to raid. The "market" isn't just rich people. They're the ones who make the most money because they have the most resources and inside information, but so many Americans, so many have their future hopes of survival riding on this bubbling, insane, tulip-crazed, stock market.
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@shredder7579 @MissConstrue my 401k allows me to allocate funds to a "capital preservation fund" (or something like that) that basically tries to stay flat. I.e. you would lose out in any gains elsewhere in the market, but not take losses (hopefully?). I doubt it's typically recommended, but it is an option. Any funds that track stuff like the SP 500 or Nasdaq 100 will have you indirectly allocating a significant proportion of your funds to all these companies heavily dependent on AI (these indexes are very top heavy, but they historically perform the best; likely because monopolies are more profitable).
I'm still reading, and trying to find out what pushback the rules are getting from the real money, and how serious the other indexes are in following the "bow to billionaires" business model.
I should go see if/what @unusual_whales has to say about the rules, the ipos, and what shorts are being placed...what is real capital doing in the face of this? (None of us have "real capital".)
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@MissConstrue @shredder7579 Why would NASDAQ-100 rules affect funds benchmarked to other indices, though?
Because the other indexes are considering adopting identical rules.
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Y’all, we need to talk about upcoming #IPOs, and the insane rule changes that #nasdaq has just announced.
Nasdaq rewrote its #index inclusion rules to accommodate #SpaceX’s mega-IPO, implementing a "Fast Entry" provision that allows the company to join the Nasdaq-100 index just 15 trading days after its initial public offering, down from the standard three-month seasoning period.
They also eliminated the minimum float requirement of 20% available public shares and instead stocks with less than 20% of shares publicly traded, Nasdaq applies a 3x multiplier to the free-float for index weighting purposes, artificially inflating low-float giants like SpaceX in passive funds.
Ok, but in English? #SpaceX, #OpenAI and #Anthropic have just figured out a scam to force every passive #IRA, #401k, and index fund to buy their stock before pricing evaluation.
They’ve figured out how to steal your #retirement.
#AI #LLM #Scam #guillotines #YouWillOwnNothing
What the SpaceX IPO means for markets
SpaceX's IPO filing has arrived. Elon Musk's rocket company is set to reshape the market when it goes public, with impacts at the index level and beyond.
Business Insider (www.businessinsider.com)
@MissConstrue looking forward to the 'pump and dump'
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@MissConstrue ok now once enough poor peoples money can be tied up in these scams and once more taxpayer money can be secured to bail out the scams... the crash everyone is rubbing their hands gleefully to come will be here... guess who will not be affected by it at all? the ones running the scams.
@htpcnz Precisely this. This is about to be a massive theft of capital. Massive. Invisibly. But gone, none the less.
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@MissConstrue Casual Finance video on the topic was quite enlightening - https://youtube.com/watch?v=-X6YzlY_8tM
@slotos Yes! That was brilliant. And I'm so glad that graphic is the thumbnail. It's such an absurd comparison.
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@MissConstrue looking forward to the 'pump and dump'
@iamnotU The churn is gonna look like feeding time at the gator tank.
