MSCI Chief: SpaceX poised for quick index inclusion after IPO

SpaceX, the space exploration company founded by tech billionaire Elon Musk, is slated for its initial public offering on the Nasdaq exchange on June 12. Following its debut, the company may see an unusually rapid inclusion into the international MSCI stock indices.

Henry Fernandez, CEO of MSCI, indicated that exceptions are made for exceptionally large companies. He anticipates SpaceX could be added to the indices within ten days of its stock market debut. Typically, companies are not immediately considered for inclusion upon going public. Fernandez explained this policy prevents passive funds from being forced to invest large sums immediately, which could artificially inflate the IPO's success.

MSCI, known for its widely followed MSCI World index, provides a benchmark for numerous exchange-traded funds (ETFs). SpaceX's IPO is anticipated to be a record-breaking event, potentially raising $75 billion and tripling the previous world record set by Saudi Aramco in 2019. Experts estimate SpaceX's market capitalization could reach between $1.75 trillion and $2 trillion.

This valuation could position Elon Musk, already the world's wealthiest person, as the first trillionaire in history. Musk's business empire also includes the electric vehicle manufacturer Tesla, which has a market value of approximately $1.5 trillion.