2/ Regarding A. I'm long $TSLA, believe it isn't a bubble and the naysayers are shortsighted and wrong.

Only time will tell about A, but B we already know - $TSLA joined at an ATH of $695 then fell - but it's now at $763, so it ADDED value, not detracted.

BUT..
3/ But the question of whether $TSLA brings risk to the S&P is WRONG by itself. The whole idea of an INDEX FUND like S&P500 is to be passive, and it's THE ACTIVE MANAGER DECISIONS that introduce risk

Being profitable and large TSLA should have been added ON Q2 EARNINGS.
..
4/ Before we analyze implications, consider this:

DataTrek Research estimates that if on Jan 1 2020 an investor had put $5 of every $100 invested in an S&P 500 ETF into $TSLA, their return by Dec 11 2020 would've increased by roughly 31%!
(more by EOY)
https://t.co/nWSFLFFnte
5/ But that's hypothetical bc $TSLA didn't qualify for S&P at Jan 2020, and 5% is more than its share today.

Tesla DID qualify on Q2 earnings but was admitted after Q3. Comparing 12/21 price ($695) to 9/21 price ($449) is wrong bc by 9/21 price fell after news of not including.
6/ So let's take compare the last day b4 the bad news and compare with 3months forward. 9/4 price was $418, while 11/30 price was $599

I other words, S&P Managers deciding to postpone inclusion despite Tesla meeting requirements, robbed Granny of ~43% rise on every $TSLA dollar
7/ Percentages are misleading. Let's assume just the $181 diff - as if buying $TSLA at $514 instead of $695, then reaping that $181 rise.
at $695 $TSLA was 1.65% of S&P, so at $514 it would've been 1.22% of S&P size, and 1.22% of the shares were robbed of 35% gain
8/ Grandma was robbed by the ACTIVE decision of delaying inclusion. But what next?

Since inclusion, $TSLA rose 10% ON RESULTS, NOT VOLATILITY, in <10 trading days - so S&P gained from inclusion

By me ($TSLA LONG, not investment advice) the future looks even more promising!
9/ S&P should be a passive index and act like one

Manager intervention robbed fund holders of profits, but now that fixed $TSLA is set to be one of the engines pulling the index upwards

MSM POV has shifted accordingly - can't wait to see 01/2021's growth engines do their thing
10/ PS While writing this thread shifted from just charting the "what if"s into a somewhat ideological rant. Sorry, lol, but realizing how the "robbing granny" argument was in fact what robbed grannies, gramps and other honest hardworking people - that got to me. Chill now!
11/ @jpr007 @garyblack00 @stekkerauto @TilmanWinkler @stevenmarkryan @heydave7 @Kristennetten @28delayslater @Cosmicstrenght3 @KaleyGoode @TeslaBest @EvaFoxU @wendishen99 @billhuang688 @TeslaPodcast @LimitingThe @elonmusk

@threadreaderapp unroll please

More from Finance

1/ My Mission: To Spread Financial Wellness (thread)

Here’s what "financial wellness" means to me

⬇️⬇️⬇️⬇️⬇️⬇️⬇️⬇️⬇️⬇️

2/ Mindset

Humans are programmed to think short-term

Evolutionary, thinking short-term makes sense. It helps with survival.

Financial wellness is all about training yourself to develop a long-term mindset

Not easy -- it takes practice


3/ Mindset

If you join the right tribes, you can’t help but improve

My favs:
@AffordAnything
@ChooseFiFI
FinTwit
@MicroCapClub
@themotleyfoolFool
@visualizevalue

Twitter / Podcasts / Blogs / YouTube -- when used correctly -- are amazing


4/ Mindset

Educate yourself - constantly!

Especially about:

1⃣Money
2⃣Relationships
3⃣Health

These 3 categories have an outsized influence on all areas of your life

Books


5/ Career

In the beginning, focus on growing your income

Do more than what is expected

Become a lynchpin

Find a career that you ENJOY (<- important!) that also has high-income potential

Start a side hustle (<- important!)

Build your talent
** MEGA THREAD ON Cryptocurrencies/Blockchain**

I wanted to know the best resources to learn about cryptocurrencies and blockchain for someone with zero knowledge. I asked Twitter, and Twitter answered.

This thread is a compilation of the best resources I was recommended. 👇👇

Let's start with ** BOOKS **

The first thing you should do before you pick up any book:

Learn about Bitcoin & Ethereum by reading the respective whitepapers.

- [Bitcoin white paper](https://t.co/cErOaFn6QL) by Satoshi Nakamoto

- [Ethereum White paper] (
https://t.co/0g5kYCGJGq) by Vitalik Buterin

Even if you are not tech savvy, you can get a good grasp about how blockchain functions from these papers.

1) *The Basics of Bitcoins and Blockchains: An Introduction to Cryptocurrencies and the Technology that Powers Them* by Antony Lewis

This book covers topics such as the history of Bitcoin, the Bitcoin blockchain, and Bitcoin buying, selling, and mining.

It also answers how payments are made and how transactions are kept secure.

Other cryptocurrencies and cryptocurrency pricing are examined, answering how one puts a value on cryptocurrencies and digital tokens.

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Following @BAUDEGS I have experienced hateful and propagandist tweets time after time. I have been shocked that an academic community would be so reckless with their publications. So I did some research.
The question is:
Is this an official account for Bahcesehir Uni (Bau)?


Bahcesehir Uni, BAU has an official website
https://t.co/ztzX6uj34V which links to their social media, leading to their Twitter account @Bahcesehir

BAU’s official Twitter account


BAU has many departments, which all have separate accounts. Nowhere among them did I find @BAUDEGS
@BAUOrganization @ApplyBAU @adayBAU @BAUAlumniCenter @bahcesehirfbe @baufens @CyprusBau @bauiisbf @bauglobal @bahcesehirebe @BAUintBatumi @BAUiletisim @BAUSaglik @bauebf @TIPBAU

Nowhere among them was @BAUDEGS to find