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S&P 500 trackers are not re-weighted.

• vineyardmike 4y ago
  Standard and Poors periodically updates the S&P 500 with the 500 largest companies. Intel will one day likely be removed, just like one day apple will be. It may be a while but it’ll happen. Companies come and go from it all the time: https://www.inc.com/ilan-mochari/innosight-sp-500-new-companies.html https://www.inc.com/ilan-mochari/innosight-sp-500-new-compan...
  • kgwgk 4y ago
    In the context of your comment "Unless you bought inte directly, the rewighting should handle it. Unless it fails quickly and spectacularly" I would find little comfort in the fact that if Intel goes down 85% -slowly but somewhat spectacularly- from its current level it will eventually be excluded from the index.
    • vineyardmike 4y ago
      Cisco used to have a massive market cap. Greatest in the country. Now it’s absolutely unremarkable compared to FAANG et al. It went from $80 to $12. The fact that I had to google for the details of its fall gives me comfort that when intels time comes it won’t cause harm on its slow exit.
      • kgwgk 4y ago
        The only harm done is the money lost on that particular investment, of course.