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index effect

The Index Effect: How S&P 500 Additions Move Stocks

October 27, 2026July 1, 2026 by Bruno M.
Index effect S&P 500 stock price chart showing announcement run-up and post-effective decay

How S&P 500 inclusion moves a stock: the pre-announcement drift, run-up to effective date, decay after, and why the effect has shrunk since 2010.

Categories Capital Markets, Market Education Tags index effect, index inclusion premium, investing basics, market microstructure, passive investing, s&p 500 addition

S&P 500 Inclusion: What Really Happens When a Stock Joins

October 24, 2026May 28, 2026 by Bruno M.
S&P 500 Inclusion: What Really Happens When a Stock Joins

How a stock actually gets added to the S&P 500, what the historical “index effect” was, and why recent research finds that pop has largely vanished.

Categories Market Education Tags index effect, index funds, investing basics, passive investing, stock market explained

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