Part of the reason for the long window before inclusion is so that the price is reasonably stable and the market has had a chance to do it's whole price discovery dance for a little while before index funds etc are forced to buy in. Part of Musks goal with lobbying for early inclusion was to prop up the price by requiring the index funds to buy and hold his stock which gives a larger market for the insiders to sell in to. He wanted to unlock that giant pool of passive investment without having to wait like everyone else had to and prove profitability over multiple quarters.

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Lerc a day ago | parent [-]

That makes more sense. Over what period do the index funds have to meet the levels? It seems like any coordinated change caused by modifying the structure of an index would cause quite volatile behaviour unless it had specific mitigation mechanisms built in.

	▲	rtkwe a day ago \| parent [-]
		Part of it is the index percentage is tuned to the available shares so it didn't create an apocalyptic buying pressure. Plus he only got the Nasdaq to modify their rules which also tamped down the pop. As for timing there's no universal answer, stock changes are usually announced a few trading days before it's effective so funds can use that time to perform their rebalances. I presume most of the funds that needed to start tracking SPCX started buying pretty early so they were properly balanced on the day it took effect it might have even been part of the initial pop though they could have also waited for the first tranches of insider shares that were released (I think there were some relatively early releases as part of the IPO?).