$10,000 in Tesla When It Joined the S&P 500 Would Be About $15,700 Today. An Index Fund Would Have Done Better.
Index funds effectively paid a record $695 a share for the electric-vehicle giant in December 2020. Was it worth it?
Tesla's inclusion in the S&P 500 on December 19, 2020, at a price of $695 per share led to significant trading activity, with over 200 million shares changing hands and generating more than $131 billion in volume. This marked one of the busiest trading days in Tesla's history. As every S&P 500 index fund effectively paid the $695 price for the stock on that day, a $10,000 investment in Tesla at the time would have grown to approximately $15,700 today.
In contrast, a similar investment in an S&P 500 index fund would have yielded about $20,500 before accounting for dividends.
Brief written by urgent.news from Motley Fool's own syndicated text. Machine-written — may contain errors; check the original before relying on it.
This story
This is one outlet's version. Read the fullest account.
