(Reuters) – Tesla Inc will on Monday make its much anticipated debut into the benchmark S&P 500 index, after rising to a record high on Friday in a frantic day of trading.
The company, headed by billionaire Elon Musk, will become the most valuable ever admitted to Wall Street’s main benchmark and will account for 1.69% of the index, according to S&P Dow Jones Indices’ analyst Howard Silverblatt. The shares have surged some 70% since mid-November, when Tesla’s debut in the S&P 500 was announced https://www.spglobal.com/spdji/en/media-center/news-announcements/#indexNews, and have soared 700% so far in 2020.
Tesla’s addition to the S&P 500 meant index-tracking funds bought $90.3 billion of shares by the end of Friday’s session so that their portfolios reflected the index, according to Silverblatt. The change is effective prior to the open of trading on Monday, S&P said earlier in December, and Tesla is replacing Apartment Investment and Management Co.
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