They are cutting the requirements for inclusion in index funds. It is not the trading on the stock exchange. Index funds are supposed to track various indicies (e.g. S&P 500, Dow Jones, NASDAQ, etc.) as a way of passively investing in the entire market or a sector of the market. This is a common thing to include in retirement funds and other conservative portfolios, because you are assuming you are tracking the whole market, so it is really safe if the line keeps going up over the long term. By waiving all of these rules to include SpaceX in the indicies, it is a way to force all of these funds to dump a bunch of money into SpaceX immediately after the IPO to immediately inflate the price and provide exit liquidity for current shareholders that worry that the inflated price wont continue long after the IPO and shares selling more openly on the market.

Edit: TLDR it is a way to force all these retirement and hedge funds to dump a bunch of money into SpaceX shares and be a bag holder after the share price almost immediately spikes as they buy it, and then deflates afterward.

[–] Pandantic@midwest.social 9 points 2 weeks ago* (last edited 2 weeks ago) (2 children)

In other words, helps the investors but fucks the workers?

[–] radio_free_asgarthr@hexbear.net 6 points 2 weeks ago

Well, it helps SpaceX investors and hurts other investors which includes worker's retirement investments.

[–] CommanderCloon@lemmy.ml 4 points 2 weeks ago

Fucks everyone but musk and people already onboard. No one who doesn't already have money in spacex will benefit from this

[–] PKMKII@hexbear.net 7 points 2 weeks ago* (last edited 2 weeks ago)

Edit: TLDR it is a way to force all these retirement and hedge funds to dump a bunch of money into SpaceX shares and be a bag holder after the share price almost immediately spikes as they buy it, and then deflates afterward.

So it’s a pump and dump but instead of using hype and fomo to lure the bag holders, Elon is bribing the indices to passively make index funds the bag holders.