Hey everybody Rob mower here and today we are talking a little bit more about the

possibilities for Tesla and S&P 500 inclusion.

This is a follow-up episode, part two of this discussion.

The first part does have some necessary context to make sense of this video.

So definitely watch that first if you haven't seen it yet.

All right, as a reminder from that first video we walked through the hypothesis that if

Tesla is added to the S&P 500 index, that means the roughly 4.6 trillion dollars in assets under management

tracking the index would need to add about 26 million shares of Tesla stock.

Also remember we ran through scenarios of Tesla at $1,600 per share and at $800 per share,

and Tesla's share price doesn't actually affect the number of shares that would need to be

purchased by these funds very much. Overall, it's pretty insignificant.

So for today's conversation, we're going to ignore that variance.

Coming out of that first video, I would say the biggest question and point of discussion was around

timing and when these funds would be buying Tesla stock if Tesla is added.

I did address that in the first video but there does still seem to be conflicting

points of view on it so I think it's worth going into a bit more detail on the topic.

First let's revisit the quote from my source which unfortunately does have to stay anonymous

but I am highly confident that this person is well informed on this topic.

Remember they were speaking with someone that has direct knowledge of these situations.

On the timing of buying, he said, quote,

I ask him if it's a singular moment, and he said no.

The managers have a pretty good sense

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