If Tesla (TSLA) - Get Tesla Inc Report is able to post a second quarter profit when they report earnings later today, the company will become eligible to be added to the S&P 500 index. With $4.6T in assets under management tracking the index, 26 million shares of TSLA stock may need to be purchased by index-tracking funds.
The included video discusses the intricacies of a possible inclusion. Subjects discussed include:
- Synthetic positions
- Derivative positions
- Selection committee's role
Thumbnail Musk image credit to insidermonkey.com
Stock footage provided by Videvo, downloaded from www.videvo.net
Disclosure: Rob Maurer is long TSLA stock & derivatives