SpaceX: "Your 401K is the Exit Liquidty"

This is simply irresponsible theft. #SpaceX “If the company lists on Nasdaq this June as expected, the stock could land in your retirement portfolio within weeks. And some of Wall Street’s loudest skeptics think that’s a problem. That’s thanks to Nasdaq’s new “Fast Entry” rule, approved March 30, which slashes the index inclusion waiting period from three months to just 15 trading days for any newly listed company whose market cap ranks in the top 40 of the Nasdaq-100… George Noble, a former Fidelity fund manager with more than four decades on Wall Street, called the proposal ‘the most SHAMELESS structural manipulation of a major index I’ve ever seen.’ When lockup periods expire 90 to 180 days later, insiders holding the vast majority of shares can sell into artificially supported passive demand. ‘Your 401(k) is the exit liquidity,’ he wrote… The concentration risk could get worse: former Tesla president Jon McNeill has said there is a better thatn 50% chance Musk merges Tesla with SpaceX after the IPO which would tie even more passive retirement money to a single Musk-controlled ticker. No one’s arguing SpaceX shouldn’t go public. The argument is whether rushing the largest IPO in history into the most widely tracked indexes on Wall Street — before the market has had any real time to discover a fair price — is good for the millions of ordinary investors whose retirement savings will foot the bill.” https://finance.yahoo.com/markets/stocks/articles/spacex-land-401-k-no-163000833.html